The changes in the political system of Albania, in early 1990, led to substantial changes in the banking system. The main features of this change consisted in: dividing central bank from commercial bank functions; increasing the number of banks operating in Albania; crediting expansion toward the sectors of the economy; and foreign capital inflow in the banking market.
With the attribute of the monetary and supervisory authority of the country, Bank of Albania, founded upon the approval of the Law No. 7559 “On the Bank of Albania”, dated 22 April 1992, is vested with the functions of a classical central bank, with the main goal to guarantee the achievement and maintain the price stability and the financial system efficiency.
In contrast to commercial banks, the Bank of Albania does not service customers, i.e. businesses or households, directly. It does not extend loans host personal accounts, issue debit or credit cards. The central bank is a bank without cash desks. Its “customers” are the commercial banks and the government.