Albanian central bank maintains confidence amid economic growth and inflation moderation

May 9, 2024 — In a press conference on Wednesday, governor Gent Sejko of the Bank of Albania delivered promising news regarding the country's economic performance. Sejko highlighted positive trends in key economic indicators such as employment, wages, and overall economic activity over recent months. These improvements signify increased job opportunities and higher incomes for Albanian citizens, contributing to a healthier economy.

Sejko also addressed the concept of inflation, which refers to the general increase in prices over time. While acknowledging a slight upward trend in prices, Sejko emphasized that the rate of inflation has been moderating, indicating improved affordability for essential goods and services.

Central to these economic improvements is the prudent monetary policy implemented by the central bank. By carefully managing money supply and ensuring the stability of financial markets, the central bank has fostered an environment conducive to business growth and individual financial well-being.

Looking forward, Sejko expressed optimism regarding the future trajectory of the Albanian economy. While acknowledging the possibility of continued moderate inflation, he remained confident that it would be manageable and not pose significant challenges to the populace.

One notable aspect of Sejko's address was the observation that food prices have been declining at a faster rate than anticipated. This development bodes well for households, as it translates to increased purchasing power and improved affordability of essential food items. However, challenges persist, particularly concerning price increases in other sectors of the economy.

Sejko also discussed key decisions made by the central bank to maintain economic stability. Among these decisions was the retention of unchanged interest rates, a move aimed at ensuring price stability and facilitating continued access to credit for businesses and individuals.