Doing Business in Albania
Albania is located in Southeastern Europe, less than 72 km from Italian coastline. It is bordered by Montenegro to the northwest, Kosovo to the northeast, The FYR Macedonia to the east and Greece to the south and southeast.
It has a coast in the Adriatic Sea to the West and on the Ionian Sea to the southwest. Albania is considered as a strategic place to invest, located in the center of the natural crossroads of major corridors in Europe.
Why invest in Albania?
- All sectors are open to foreign investors.
- No limitation or restrictions for foreign companies; 100% foreign ownership possible.
- Albania is the gateway to the Balkans.
- Free Trade Area.
- Total labor costs are lower than comparable countries.
- Social security ‘on costs’ amounts – 31% of gross wages.
- Adaptable and flexible skilled labor force.
- Extensive language skills, most of the younger generation are college graduates.Its population is young and active; one of the youngest populations in Europe and consist of a very competitive workforce in the region because 57% is under the age of 35.
- Furthermore Albania has:
- English, Italian, Greek and Spanish languages are widely used.
- Online tax system;
- Business legal framework in line with EU legislation;
- Tax benefits and incentives for investment in strategic sectors;
- Favorable tax system:
- corporate tax rate 15%
- personal tax rate up to 23%
- treaties for the avoidance of double taxation with over 40 countries. There are a lot of investment opportunities in: Renewable Energy; Tourism; Agriculture; Manufacturing; Transport and logistics; Mining Industry; ICT Services, etc.However there are a number of issues which you must consider when you are looking to set up your business in Albania.This document takes you through some of the common questions we come across and gives you practical information about the issues you need to consider.