From: Exit News
Coronavirus to Cost Albania €500 Million until June, Government Predicts

The Albanian government has predicted over €500 million in loss until the end of June. The loss comes as a result of a drop in income and expenses needed to handle the pandemic.

Today, Prime Minister Edi Rama announced that the government had lost €100 million in March, and approximately €170 million in April. He also warned that there will likely be a €170 million loss in May, as well, and €100 million in June.

A few days ago, the IMF warned that Albania’s GDP would see a 5% decline in 2020. The country’s tourism sector is expected to suffer the most.

While the IMF did not give a precise projection of the decline the tourism industry is expected to see, it warned that this decline will be too steep to be balanced out by the  economic activity that will be generated by reconstruction projects. Thus, the Albanian economy will grow at a slower rate than that predicted for the year 2020.

Albania is expected to recover from the decline by 2021, for which year the IMF forecasts an 8 percent GDP increase over 2020, making for an average GDP growth of 2.6 percent in the 2019-2021 period.