Apr 19, 2025

5 Growing Sectors for Investment in Albania 2025

Considering investing in Albania? Here are the top five sectors anticipated to offer substantial opportunities in 2025:

  1. Tourism and Hotels: With 11.7 million visitors expected by 2024 and projects worth 5.3 billion euros underway, the tourism sector is experiencing exceptional growth. Coastal areas and cultural tourism are among the most sought-after.

  2. Manufacturing: From textiles to metal machinery, this sector offers opportunities for export and economic diversification. Currently, 8.2% of registered businesses are in manufacturing.

  3. Renewable Energy: Albania aims to have 54.4% of its energy consumption come from renewable sources by 2030. Solar and wind energy are at the forefront.

  4. Transport and Storage: With the development of a new port in Porto Romano and infrastructure modernization, this sector is becoming a crucial hub for trade connections.

  5. Construction and Real Estate: Foreign investments of 1.1 billion euros during 2024 and an increasing demand for coastal and residential properties.

Why invest? The Albanian economy is expected to grow by 3.5%-3.9% in 2025, and the government has planned 8.2 billion euros in infrastructure investments. Now is the time to act.

How much will the Albanian economy grow in 2025? - World Bank

1. Tourism and Hotels

Thanks to 8.2 billion euros in infrastructure investments, tourism in Albania is rapidly growing. In 2024, 11.7 million visitors are expected, marking an 80% increase compared to 2019 [1].

The government has initiated several projects to develop this sector. 33 tourism projects, with a total value of 5.3 billion euros, are in process. The National Tourism Strategy for the 2024–2030 period is based on five main pillars: investment, destination management, product development, marketing, and capacity building [1].

Certain segments of tourism hold great potential for investment:

  • Coastal Tourism: 80% of hotels are located near the coast in areas such as Velipoja, Shëngjin, Durrës, Kavaja, Vlora, Saranda, and Pogradec [3].

  • Agro-Mountain Tourism: Rural tourism is expanding in mountainous areas, offering authentic experiences.

  • Cultural Tourism: Four UNESCO-protected castles and rich cultural heritage create opportunities for developing cultural infrastructure and services [3].

One of the main challenges remains the lack of yacht ports. However, with the support of the EU and a focus on sustainable tourism, the sector is expected to offer significant opportunities by 2025 [2].

Now, let's take a look at the manufacturing sector, which holds potential for growth and diversification.

2. Manufacturing

Manufacturing represents 8.2% of registered businesses, with 612 active companies[5]. This sector offers good opportunities for export and economic diversification.

Main sub-sectors include:

  • Textiles: One example is DBS GROUP ALBANIA, founded in 2014 in Tirana. This company, with 501–1,000 employees, is a leader in the clothing industry[4].

  • Metal Machinery: Marale shpk, established in 2022 near Tirana, has 11–50 employees and brings technological advancements to this sector[6].

3. Energy Production

The energy sector in Albania is strongly trending towards renewable sources. Currently, 95% of energy production capacity comes from hydropower plants, a higher percentage than any other country in the Western Balkans [7].

Investment Opportunities:

  • Solar Energy: With around 300 sunny days per year, Albania has significant potential for solar panel installations [7].

  • Wind and Geothermal Energy: These sources account for only 0.7% of total energy supply, offering room for further expansion [7].

  • Financial Support: The World Bank has approved a $120 million loan (as of January 2025) to improve the energy market and increase renewable resource capacities [8].

Challenges and Solutions:

  • Decreasing Hydropower Capacity: A decline of 15-20% is forecasted by 2050. The solution? Diversifying sources with solar and wind energy [7].

  • Energy Losses: Currently, losses reach 21% (2023). Modernizing infrastructure and better management can help reduce these losses [7].

  • Unclear Legal Framework: To solve this issue, cooperation with authorities for clearer standards is required [7].

Albania has set an ambitious target: by 2030, 54.4% of total energy consumption will come from renewable sources [7].

4. Transport and Storage

The development of energy sources is accompanied by a need for transport and storage, enabling the connection of production to international markets. The Port of Durrës is experiencing significant growth: during January-February 2025, it processed 548,000 tons of goods, an 8% increase compared to the same period last year [9]. This port plays a key role in connecting production points with tourist and industrial destinations, becoming a crucial hub for Albania's economic development.

The Porto Romano Project

Another important step is the construction of a new port in Porto Romano. This project aims to:

  • Expand the country's logistics capacities

  • Create a strategic connection with dry ports in North Macedonia and Kosovo

  • Strengthen the Tirana-Durrës economic corridor

  • Improve transit operations of goods [9]

Investment Opportunities

The transport and storage sector offers several investment opportunities, including:

  • Port Infrastructure: Modernizing equipment to speed up goods processing

  • Storage: Building modern centers near ports

  • Logistics: Providing integrated transportation services

  • Technology: Utilizing digital systems for cargo management

According to forecasts, the Albanian economy is expected to grow by 3.4% in 2025, while average wages in the private sector will increase by 12.7% [10]. A good logistics infrastructure creates favorable conditions for investments in building and managing storage facilities.

5. Construction and Real Estate

With the expansion of logistics networks and increased demand for residential and commercial development, the construction and real estate sector is experiencing rapid growth. This is particularly evident in coastal areas and major cities. Foreign investments in this market reached €1.1 billion in 2024, reflecting the growing interest of international investors [11].

Prices and Opportunities (2024)

Average prices per square meter (2024) [12]:

Area

Average Price per m²

Lalzi Bay

900–1,100 €

Golem–Qerret

800–850 €

Saranda

900 €

Durrës (center)

71,200 ALL

Factors Driving Development

  • Foreign buyers account for 27% of total house sales [11].

  • Major government investments in infrastructure, with a budget of €1.6 billion by 2025 [11].

  • Growing demand for energy-efficient properties.

  • Expansion of the short-term rental market, especially in tourist areas.

Opportunities in the Durrës Area [12]:

  • Near the coast: 700–750 €/m²

  • Railway zone: 300 €/m²

  • Center: 71,200 ALL/m²

These opportunities are amplified by infrastructure projects like the Tirana–Durrës highway and the new Porto Romano port, which are increasing the property values in this region.

Developing Sectors

  • Short-term rental properties for tourists.

  • Housing for international students in Tirana.

  • Properties adapted for senior citizens.

Sector Comparison

The table below summarizes the top five sectors based on projected investments, expected returns, and risk factors. It aims to help identify key investment opportunities for 2025.

Comparison of Investment Opportunities in Albania for 2025

Sector

Investment (2025)

Expected Return (ROI)

Payback Time

Main Risks

Tourism & Hotels

1.2 billion €

12–15%

3–4 years

Seasonality

Manufacturing

500 million €

10–12%

4–5 years

Dependence on imports

Energy (Renewable)

300 million €

8–10%

5–6 years

Legislation

Transport & Storage

200 million €

9–11%

4–5 years

Infrastructure

Construction & Real Estate

1.1 billion €

11–14%

3–4 years

Price Fluctuations

Once you have selected the sector that best aligns with your objectives, you can start planning your next steps for your investment.

Next Steps

After comparing sectors, select the service that best meets your needs:

Consultancy and Market Analysis

To make informed investment decisions, you need support from field experts. Business Network Albania offers customized consultancy services based on experience and in-depth knowledge of each sector. These include:

  • Comprehensive market analysis and advice on legal procedures for registration and licensing

  • Tailored strategies for entering each of the five key sectors

These services help you leverage the opportunities each sector offers.

"Our value lies in sharing knowledge, not just creating contacts."

Membership and Benefits

To maximize investment opportunities, Business Network Albania offers membership plans tailored to every level of investment. These packages are designed to help you achieve your objectives efficiently.

Schedule a consultation today to determine the best strategy for your investment in Albania.

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Over 40 Albanian business leaders worldwide have chosen to be part of Business Network Albania.

Are you ready to join us?

Over 40 Albanian business leaders worldwide have chosen to be part of Business Network Albania.

Are you ready to join us?

Over 40 Albanian business leaders worldwide have chosen to be part of Business Network Albania.