The Albanian economy, according to the Bank of Albania, is performing well and the director of monetary policy, Erald Themeli, says that for this reason the base interest rate for the lek was kept unchanged at 2.75%.

"The current monetary policy stance of 2.75% is appropriate, meaning that we did not think we needed to react either in the upward or downward direction with the base interest rate. However, there is another factor, the fact that the monetary policy stance continues to remain stimulating for the Albanian economy. We see this in the level of credit expansion in the economy, which has had an upward trend during 2024, and we also see it in the abundant levels of liquidity in the Albanian economy and in the low levels of interest rates, whether in terms of rate deposits, loans or securities. So for the moment it was deemed appropriate and reasonable for the monetary policy stance to remain as it is," he said.

Although inflation is reported to be declining, the Central Bank considers the monetary policy appropriate.

"I think that we have followed a prudent and reasonable monetary policy which has proven successful, so the timely reaction to the appropriate extent during 2022-2023 in terms of increasing the base interest rate at rates conditioned both by the progress of inflationary pressures, but also by the strengthening trend of the exchange rate, was more than sufficient to bring the inflationary wave from the foreign market under control," Themeli said.

The Bank of Albania estimates that economic performance is expected to be optimistic and that inflation of 3% will return to target within 2025.