Albania ranks 70th in economic freedom

Despite losing 2 points during the past year, Albania’s economic freedom ranks among the best in the region, lagging only behind neighbouring Macedonia. The finding made available in the 2011 Index of Economic Freedom published by The Wall Street Journal and The Heritage Foundation, assess 183 countries based on ten indicators that evaluate openness, the rule of law, and competitiveness. Albania ranked 70th in the index, sandwiched between Portugal and Belize, and performing better than most Balkan countries. “Albania’s economic freedom score is 64, making its economy the 70th freest in the 2011 Index. Its level of economic freedom declined by 2 points during the past year, due primarily to decreases in trade freedom, investment freedom, freedom from corruption, labor freedom, and its government spending score. Albania is ranked 33rd freest among the 43 countries in the Europe region, and its overall score is above the world average.” Albania has achieved strong economic growth over the past five years, driven mainly by the services and construction sectors and reflecting significant diversification of the economic base. Albania’s overall economic freedom score is constrained by weak property rights and pervasive corruption. The low property rights score is largely a result of political interference in the judiciary. “Albania’s regulatory system is not fully transparent but is becoming more conducive to entrepreneurial activity. Establishing and running a business has been facilitated by recent reforms. Many license requirements have been abolished, and a broad simplification of licensing procedures has been undertaken.’