Albania

Albania is a small, mountainous country located in Southeastern Europe along the Adriatic and Ionian seas, bordered by Greece, Montenegro, Kosovo, and North Macedonia. Despite its modest size, the country occupies a strategic position at the entrance to the Adriatic Sea through the Strait of Otranto, connecting it to the wider Mediterranean region. Albania’s historical trajectory—from Ottoman rule and wartime occupation to communist isolation and democratic transition—has profoundly shaped its political identity, economic development, and place within Europe.

Geography and Natural Environment

Situated at 41° N and 20° E, Albania covers an area of 28,748 sq km, slightly smaller than Maryland in the United States. It has 691 km of land borders and 362 km of coastline, with access to both the Adriatic and Ionian Seas. The country’s terrain is predominantly mountainous, with limited plains and lowlands along the coastal belt. The highest point, Maja e Korabit (2,764 m), lies in the eastern mountain ranges on the border with North Macedonia, while the lowest point is at sea level along the Adriatic coast. The mean elevation stands at 708 m.
The climate is mild temperate, featuring cool, wet winters and hot, dry summers, although the interior regions are cooler and wetter due to altitude. The country’s natural hazards include earthquakes, flooding, droughts, and occasional tsunamis along the southwestern coast. Albania possesses a variety of natural resources, including petroleum, natural gas, coal, bauxite, chromite, copper, iron ore, nickel, salt, timber, and abundant hydropower potential.
In terms of land use, approximately 41.4% of the territory is agricultural, 28.8% is forested, and 29.8% classified as other uses. Arable land comprises 21.8%, while permanent pasture accounts for 16.4%. Major lakes include Lake Scutari (400 sq km), the largest in the Balkans. With significant hydrological resources and a renewable water supply of 30.2 billion cubic metres, Albania’s geography underpins its energy and agricultural sectors. However, soil erosion, deforestation, and industrial pollution remain persistent environmental challenges.

Historical Background and Political Development

Albania declared independence from the Ottoman Empire on 28 November 1912, marking the emergence of a modern Albanian state. The early 20th century was marked by political instability and territorial disputes. A brief monarchy under King Zog I ended in 1939 with the Italian occupation, followed by German control in 1943. Communist partisans, led by Enver Hoxha, established a People’s Socialist Republic in 1944, instituting one of the most repressive regimes in Europe.
During the Cold War, Albania successively aligned with the Soviet Union until 1960, and then with China until 1978, after which it entered a period of isolation. The collapse of communism in the early 1990s brought a transition to a multiparty democracy. Political turbulence persisted, especially during the 1997 economic crisis triggered by failed government-backed pyramid schemes, which led to civil unrest and required international intervention.
In the late 1990s, Albania hosted Kosovar refugees during the 1999 conflict with Serbia. The country’s post-communist trajectory included joining NATO in 2009 and achieving EU candidate status in 2014. Albania continues to pursue European Union accession reforms, focusing on governance, anti-corruption, and judicial independence.

Government and Administration

Albania is a parliamentary republic with a constitution adopted on 28 November 1998. The head of state, currently President Bajram Begaj (since 2022), serves a five-year term elected by the Parliament. The head of government is the Prime Minister, Edi Rama (in office since 2013), who leads the Council of Ministers. The unicameral Parliament (Kuvendi) comprises 140 members elected by proportional representation for four-year terms, with women holding about 36% of the seats.
The judicial system follows civil law principles, though northern regions still observe aspects of customary law known as the Code of Leke. The Supreme Court and Constitutional Court serve as the highest judicial bodies, each with judges appointed for single nine-year terms. Specialised courts address corruption and organised crime, reflecting the country’s ongoing judicial reform efforts. Albania recognises dual citizenship, grants universal suffrage at 18, and maintains a five-year residency requirement for naturalisation.
Administratively, Albania consists of 12 counties (qarqe), including Tirana, Shkoder, Durres, Vlore, and Gjirokaster. The capital city, Tirana, located at 41° 19′ N, 19° 49′ E, is home to around 520,000 inhabitants.

Population, Society, and Culture

As of 2024, Albania’s population stands at approximately 3.1 million, ranking 137th globally. The population is largely homogeneous, with Albanians comprising 82.6%, and smaller communities of Greeks, Vlachs, Roma, and Macedonians. The official language is Albanian, derived from the Tosk dialect, while minority languages such as Greek, Romani, and Macedonian are spoken regionally. The literacy rate is exceptionally high at 98.8%.
Religious affiliation reflects a complex history of Ottoman, Christian, and secular influences: Muslims (56.7%), Roman Catholics (10%), and Orthodox Christians (6.8%) coexist alongside smaller Bektashi Sufi and atheist populations. Albania remains one of Europe’s most religiously tolerant societies, with a secular constitution ensuring freedom of worship.
The median age is 36.3 years, and the total fertility rate of 1.55 children per woman indicates a gradually ageing population. Life expectancy is relatively high at nearly 80 years, reflecting improved healthcare standards. Urbanisation has accelerated, with over 64% of the population living in cities. Healthcare access is broad, with nearly universal sanitation and clean water availability. Education is compulsory and free, with an average school life expectancy of 15 years.

Economic Structure and Development

Albania’s economy is classified as upper-middle income, marked by steady growth and an ongoing process of European integration. In 2024, the country recorded a real GDP (PPP) of $51.36 billion, representing a 4% growth rate. GDP per capita stands at around $18,900, while inflation remains moderate at 2.2%. Economic activity is dominated by services (48.9%), followed by industry (22.4%) and agriculture (15.5%).
Principal agricultural outputs include milk, maize, tomatoes, potatoes, grapes, wheat, and olives. Key industrial sectors encompass food processing, footwear, apparel, oil extraction, cement, mining, and hydropower. Albania’s tourism sector—driven by natural landscapes, beaches, and cultural heritage sites—has become a cornerstone of GDP and employment.
Trade relations are strongly oriented towards the European Union, particularly Italy (41%), Greece (10%), and Germany (5%). Major exports include garments, footwear, petroleum, and electricity, while imports consist largely of vehicles, refined fuels, medicines, and metals. The current account deficit persists but has narrowed due to strong export performance and remittances, which account for around 8.4% of GDP.
Unemployment remains about 10%, with youth unemployment exceeding 25%, and 22% of the population living below the national poverty line. The government’s fiscal consolidation aims to lower public debt (81.9% of GDP) through tax reforms and improved revenue collection.

Energy, Infrastructure, and Communication

Albania enjoys universal electricity access, with an installed generation capacity of 2.857 million kW dominated by hydroelectric power (96.7%), supplemented by small solar energy projects. The country exports and imports electricity seasonally and seeks to enhance energy diversification and efficiency. Proven crude oil reserves of 150 million barrels and natural gas reserves of 5.7 billion cubic metres further support domestic production potential.
Transport infrastructure includes three airports, three main seaports (Durres, Shengjin, Vlore), and a 424 km railway network, though rail operations are minimal. The telecommunications sector is expanding, with mobile coverage at 98 subscriptions per 100 inhabitants and internet usage reaching 83%. Fixed broadband subscriptions number over 630,000.

Defence, Security, and International Relations

The Albanian Armed Forces (AAF), under the Ministry of Defence, comprise Land, Naval, and Air Forces, supported by the State Police and Guard of the Republic under the Ministry of Interior. With approximately 7,500 active personnel, Albania maintains a modernisation programme focused on NATO interoperability. Since joining NATO in 2009, Albania has participated in missions in Kosovo, Iraq, Afghanistan, Bulgaria, and Latvia. Military expenditure is about 1.7–2% of GDP, with increasing female representation (15% of total personnel).
Albania is active in over 40 international organisations, including the UN, NATO, WTO, OSCE, WHO, and Council of Europe, and it continues its EU accession process. Diplomatic ties with the United States and European partners are strong, reflecting its Western-oriented foreign policy.

National Identity and Culture

Albania’s national flag features a black double-headed eagle on a red background, symbolising courage and sovereignty. The national coat of arms, adopted in 1998, incorporates the same eagle with Skanderbeg’s helmet, honouring the 15th-century hero Gjergj Kastrioti Skanderbeg, who led the resistance against Ottoman rule. The national anthem, “Hymni i Flamurit” (Hymn to the Flag), has been in use since independence in 1912.
Culturally, Albania bridges Mediterranean and Balkan influences, blending Ottoman legacies with European modernity. Its World Heritage Sites—including Butrint, Berat, Gjirokastër, and the Lake Ohrid region—reflect centuries of historical diversity and natural beauty.
In the 21st century, Albania stands as a democratic, reform-oriented nation striving for EU integration, economic modernisation, and improved governance. Its blend of natural resources, cultural richness, and resilient population continues to define its evolving role in the European and Mediterranean landscape.