External sector developments in the albanian economy during the period January - September 2008

The overall balance of payments for the period January – September 2008 resulted with an increase of foreign assets amounting to EUR 101, 4 million. Current account incurred a deficit amounting to EUR 840 million. Capital inflows recorded the value of EUR 767 million, covering up to 91 percent of the current deficit. The main developments in the external sector of the Albanian economy can be summarised as follows: - Considerable increase of current expenses and incomes. - Further deepening of the trade and current deficits. - Expansion of incoming capital flows in the form of FDIs and of public sector borrowing. - Increase of foreign reserve of the monetary authority.