The travel and tourism industry, which employs around 41,000 people in Albania, is estimated to have contributed by $639 million or around 4.8 percent of the GDP in 2014
TIRANA, May 8 – Albania’s tourism competitiveness lost considerable ground in the past couple of years on deteriorating travel and tourism policy and enabling conditions, a biennial report published by the World Economic Forum has shown.
The Adriatic country ranked 106th out of 141 countries in the 2015 Travel & Competitiveness Index, losing 29 places compared to the 2013 report. Albania registered its best performance in the Index in 2011 when it ranked 71st, from 90th in 2009.
Natural and cultural resources was Albania’s poorest indicator in the report ranking the Balkan country 135th, followed by travel and tourism policy and enabling conditions 122th.
Infrastructure and the enabling environment slightly improved in this year’s report ranking 90th and 69th respectively.
Among Southern and Western Europe, Albania ranked 36th lagging behind regional competitors.
This year’s performance of Albania’s tourism competitiveness was affected by poor scores in natural resources (128th), the cultural and business travel (127th), environmental sustainability 109th, international openness 106th, prioritization of travel and tourism 105th, business environment 93rd.
In the business environment pillar, Albania’s performance continues being hindered by poor property rights, extent of market dominance measuring competition and efficiency of legal framework settling disputes. Albania’s best indicators in the business environment include the number of days to start a business and the total tax rate.
Albania ranked better on human resources and labour market (56th), safety and security 70th, health and hygiene 72nd, ICT readiness 73rd and tourist service infrastructure 79th.
The travel and tourism industry, which employs around 41,000 people in Albania, is estimated to have contributed by $639 million or around 4.8 percent of the GDP in 2014, says the report.
The Albanian government is expected to make the tourism industry more competitive through tax incentives, public-private partnerships and the opening of new airports in southern Albania.
Strategic investors in Albania’s tourism sector will be offered state-owned property for a symbolic 1 Euro under 99-year concession contracts to develop tourist resorts, according to a new draft law on tourism which has been submitted to Parliament.
Experts consider the new law a good opportunity to attract strategic foreign investors considering the chaotic development of tourism and urban massacres in the past two decades in the key tourist destinations and that a considerable part of the Albania’s coastline remains virgin.
Tourism revenue registered a record high of 1.2 billion euros in 2014 when more than 3.6 million foreign tourists visited Albania, according to data published by the central bank and INSTAT.
Ethnic Albanians from Kosovo, Macedonia, Montenegro account for three-fifths of foreign tourists visiting Albania, with local experts often referring to this market as ‘patriotic tourism.’
