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5.0 Real Economy Outlook 5.1 Real Economy – Albania
5.1.1 Retail
Albania's retail sector achieved robust growth in the first half of 2024,
according to the latest data from the national statistics office.
Retail trade volumes increased by 5.9% y/y in Q2. On a seasonally adjusted basis, the index was up by 2% from the previous quarter. Excluding motor fuel, retail turnover posted a 6.2% y/y rise, with the strongest contributions coming from non-food products, which grew by 6.8%, followed by food, beverages and tobacco at 5.6%. Motor fuel sales rose by 5.3%.
The contribution of non-food products to annual growth was the most significant, accounting for 2.7 percentage points (pp) of the overall increase. Food, beverages and tobacco added 1.9 pp, while motor fuel sales contributed 1.3 pp. Quarter on quarter, retail trade turnover excluding motor fuel rose by 1.2% when adjusted for seasonal factors.
This growth followed a similar trend in the first quarter of 2024, where retail sales increased by 4.9% y/y, driven largely by a surge in foreign tourism, as reported by INSTAT.
These results highlight the strong growth in Albania's retail sector, bolstered by both domestic demand and the inflow of international visitors, after two years during which inflation related to the energy crisis dampened sales.
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