The International Monetary Fund has increased the forecast for the expansion of the Albanian economy in 2018 in the last report of October’s “Global Economic Overview”. The Fund expects the country’s growth to be 4% this year, from 3.7% predicted in the previous report published in April (the report is published twice a year). This is the highest growth rate since 2008.
In comparison with other countries in the region, Albania is expected to be among the countries with more accelerated economic expansion, better than Bosnia (3.2%), Bulgaria (3.6%), Croatia (2.8), Serbia (3.5) Montenegro (3.7%) and the same as Kosovo and Serbia. While for the current year the panorama turns out to be improving, for 2019, the Fund expects a lower growth than in April. In 2019, the Albanian economy is expected to expand by 3.7%, from 3.8% that it was previously forecasted. While for 2023, expectations have remained unchanged at 4%.Inflation is expected to grow gradually, from 2.5% in 2018 to 2.9% in 2023, approaching the Bank of Albania target. Current account deficit is expected to narrow gradually to 6.2% of gross domestic product in 2023, as compared with 7.1% of GDP at the end of 2017.