The European Commission’s 2026 report highlights Albania’s new law on the Bank of Albania and progress in central bank independence, payment systems and banking stability. The report notes that the new legislation aligns with European Union rules on central bank independence and the prohibition of monetary financing for the public sector.
This follows recommendations in the Commission’s 2024 and 2025 reports. Earlier assessments called for stronger safeguards for the personal independence of the governor and the central bank’s governing bodies. The 2026 report now rates Albania as well prepared in economic and monetary policy, with good progress.
Meanwhile, payment modernisation continues. Regulatory changes support the transition to ISO 20022 and the Single Euro Payments Area (SEPA). Electronic payments increased by 23% in 2025, while commercial banks have begun testing an instant payment system based on the TIPS model.
The report also describes Albania’s banking sector as well-capitalised, profitable and liquid. The capital adequacy ratio reached 20.4% in December 2025, above the 12% minimum requirement. Non-performing loans fell to 3.8% in May 2026, their lowest level since 2008. Private-sector lending grew by more than 14% year on year in the first half of 2026.
In addition, the Commission notes new rules on systemic risk reserves and digital operational resilience, as well as the licensing of Albania’s first fully digital bank in March 2026. It also highlights measures to combat money laundering and terrorist financing.
Further work remains on implementing payment legislation, developing instant payment infrastructure and aligning banking rules with European Union standards.
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