TIRANA, Dec. 20 – Corruption and bureaucracy continue to remain the key barriers to attract new Dutch investors to Albania, Ambassador Dewi van de Weerd has said as the Netherlands has emerged as the second largest foreign investor thanks to some major energy-related projects.
Speaking in an interview with Monitor magazine, Ambassador van de Weerd says that what Albania can do to improve its business climate is to put in place clear and predictable investment and tax policies.
“Public procurement has to be conducted fairly and transparently. Foreign investors should not leave because of costly and complicated procedures. Dutch investors accept improvements in the business climate, but corruption and bureaucracy continue to remain barriers,” the ambassador says.
According to her, quality higher education and vocational education training can help increase interest by Dutch companies to invest in Albania.
The Dutch ambassador says the water, agriculture, agritourism, energy and textiles are the top sectors where Dutch companies can invest in Albania.
However, fighting organized crime and corruption has to be on top of the agenda for the new government with tangible results at all levels, the ambassador adds.
Dutch authorities have voiced concern over a hike in Albanian-led organized crime and asylum-seeking in the Netherlands this year, with some MPs even demanding the reintroduction of visas for Albanian citizens.
The Netherlands has emerged as the second largest foreign direct investor in Albania and is on track to further increase its presence in the Balkan country thanks to rising investment in the oil industry by the Royal Dutch Shell and most recently retail trade by Spar International retailer.
Bank of Albania data shows the Dutch FDI stock to Albania rose to €817 million at the end of the first half of this year, up from about €530 million in early 2015.
The sharp increase in Dutch FDI in the past couple of years is also dedicated to a major hydropower plant that is being built by Norway’s Statkraft through its wholly-owned Netherlands-based Statkraft Markets B.V.
Dutch companies in Albania also operate in the banking, micro-credit, mail delivery and agriculture sectors.
However, trade exchanges between the two countries remain modest at only about €44 million and overwhelmingly dominated by Albanian imports.
Last May, Dutch low-cost carrier Transavia, a subsidiary of Air France-KLM, launched direct flights linking for the first time Amsterdam to Tirana three times a week as part of its SEE expansion, giving a boost to growing trade, investment and tourism links between the two countries.
