Albania has dropped three places in two years in the Prosperity Index 2020.
Ranking number 67 out of 167 countries, it was 64th in 2018 and 65th in 2019. In Europe, it is positioned as number 17 out of 23 countries.
The index measures prosperity over a variety of areas including inclusive societies, open economies, and empowered people. Each of these sections is further broken down into other categories and the country is awarded a score out of a possible 100.
Inclusive societies
Albania scored 55.3 points in this category, noting a two-point decline in the last decade. Safety and security however dropped by. Governance dropped to 49.2 points, social capital was low with 43.9 points, and personal freedoms just managed to scrape more than 50 points. Concerningly, Albania ranked 146 out of 167 countries in terms of social capital, positioning its one of the worst in the world. Overall in this category, it performed poorly.
The rule of law continued to decrease, scoring just 35.1 and ranking Albania 128 worldwide. The integrity of the government was also poor with just 42.8 points, along with regulatory quality which ranked at number 77. Property crime was also noted to have decreased, falling to 62.6 points.
Freedom of speech and access to information was one of the poorest scoring categories and Albania ranked 104 out of 167. Social tolerance was also concerning, scoring 3 0 points and ranking at number 125.
The situation was also dire for civic and social participation (136th), institutional trust (118th), and personal and family relationships (112nd). The worst score- worst in the world was interpersonal trust where Albania scraped just 16.6 points.
Open economies
The Albanian investment environment scored just 55 points, and enterprise scored 54.8. The biggest loser in 2020 was economic quality, dropping to 105th place out of 167 countries with a score of 43.6. There were increases in market access and enterprise conditions, but they still remain far below the global average.
Albania came 116 globally for the property rights of citizens and the right to enforce a contract placed them in 98th position. Price distortions were an issue, placing Albania in 100th place and the environment for business creation was considered bad and Albania ranked 103rd.
Fiscal sustainability, dynamism, and labour force engagement all ranked lower than 118th, placing the country amongst the worst scoring globally in these areas.
Empowered people
Living conditions decreased but still scored 75.4, health remained the same at 73.4, and education increased by almost 10 points to 71.2. The natural environment only increased by 0.2 points but still remained relatively low at just 58.2.
