TIRANA, Jan. 22 (Xinhua) -- The Albanian economy is projected to grow by 4 percent in 2019, according to the latest United Nations (UN) World Economic Situation and Prospects 2019 (WESP) report.
According to the report, Albania recorded a solid economic performance in 2018, as exports and domestic demand remained strong and investment was boosted by foreign investment in the energy sector.
The report said that in 2018 the unemployment rate in Albania fell to a record low of 12.8 percent from 13.7 percent in the previous year.
According to the report, the prospect of the European Union (EU), confirmed by the European Commission strategy paper in 2018, and the decision of the EU Council to open accession negotiations with Albania and Macedonia (if certain conditions are met) remain important macroeconomic policy anchors.
In 2019, Albania and Serbia (with the projected growth rate at 4 percent in 2019) are among the countries with the fastest growing economy in the South-Eastern European region followed by Montenegro with 3.7 percent.
Meanwhile, according to the report the inflation rate for Albania in 2019 is projected at 2.4 percent.
As for 2020, the UN projects a slowdown in Albania's economy with a growth rate of 3.8 percent. The inflation in 2020 is projected at 2.3 percent.
According to the report, the South-Eastern European region's aggregate GDP is expected to expand by 3.7 percent in both 2019 and 2020 supported mostly by investments and exports.
"Stronger growth is needed to address the region's diverse problems, including the need for reindustrialization and a low labor force participation rate," reads the report.
