Research Papers

This study analyzes household financial fragility in Albania, measured through households’ ability to cope with unexpected expenses, while also assessing the role of socio-economic and financial factors.

Climate change presents profound risks not only for the environment but also for economic stability. These risks are intricately linked to growth outcomes, and understanding their impact requires a forward-looking analytical framework.

This paper investigates the long‑run and short‑run dynamics of Albania’s credit market by decomposing bank lending into its fundamental components—credit demand and credit supply—and examining their distinct macro‑financial determinants for firms and households.

This paper presents an empirical investigation into the existence of credit crunch (rationing) episodes in Albania’s credit market. The analysis focuses on the period following the global financial crisis and extends through the aftermath of the COVID-19 pandemic.

The 2024 Digitalization Survey by the Bank of Albania provides an in-depth analysis of the Albanian banking sector’s digital transformation, capturing the progress, challenges, and opportunities in its journey toward a digital-first economy.

The exchange rate has a significant influence on headline inflation. Our study aims to analyze the asymmetric effects of the exchange rate on different levels of inflation.

This study analyzes the impact of macroeconomic and banking indicators on bank profitability in Albania over the period 2002-2024.

Demographic change may have important implications for monetary policy, especially when interest rates are near the zero lower bound, limiting its space to stimulate the economy. This paper simulates a demographic model for Albania, allowing for time-varying demographics, in order to quantify the impact of demographic transition and migration on real interest rates.

Capital flows are critical for growth in small open economies (SoE) and emerging ones. Catching up with advanced economies in terms of productivity, consumption smoothing and risk sharing all rely on the size of capital and financial flows.

This article investigates the role of economic, financial and demographic indicators in forecasting house prices in Albania. The pool of variables is drawn from empirical studies for advanced and developing countries.