TIRANA, July.4- The Albanian National Statistics Institute (INSTAT) has reported that May has seen both record imports and exports as the Albanian economy continues to grow. Exports for May of this year reached 8,539 million leks, 22 percent more than the same month last year, and 7.4 percent higher than in April 2007. Imports, however, have recorded higher increases offsetting the effects of higher exports. May recorded imports worth 31,955 million lek, 31.2 percent higher than last year and 4.8 percent higher than April 2007. The resulting trade deficit for May resulted in 23,416 million lek, 3.9 percent higher than April but a significant 34.9 percent higher than last year. European Union member countries continue to assume the bulk in the trade relationship with Albania with a 65.2 percent share of total trade.
The key countries trading with Albania are Greece and Italy. Exports during the reporting period with Greece were put at 8.8 percent while imports were 13.7 percent of total trade. Trade with Italy during this same period included 72 percent of Albanian exports and 27.7 percent of imports.
During this period, local production has again not covered local demand prompting the need for imports. The leading Albanian exports were textiles and shoes. Experts say that even this sector is successful not because of its competitive abilities but due to the European sanctions against cheaper Chinese goods. Despite the high increase in the availability of credit, local production has not become more competitive. The only factors offsetting this deficit are remittances.
