The findings of survey “An Enabling Environment for Sustainable Enterprises in Albania”, in terms of "Key Business constraints in Albania" were presented during the conference held on 5 December 2017, at Hotel The Plaza Tirana, with the participation of the main project partners, Biznes Albania and International Labor Organization (ILO), also business associations. The study was conducted by The Institute for Development Research and Alternatives (IDRA) following the ILO's EESE methodology. The survey findings identified, in collaboration with focus groups, the five key constraints for employers in Albania. For these five key restrictions, a questionaire was developed as a basis for interviews with executives of 400 Albanian companies. 

Informal competition, tax rates and frequent tax changes, complex and unpredictable legal and regulatory framework, skills mismatch and corruption appear to be the biggest obstacles for Albanian businesses. Meanwhile, the anti-informality campaign taken by the Government of Albania in the end of  2015, has given additional importance to informal competition and other issues related to taxation. In terms of Tax rates, firms appear to be more cautious in their answers when asked if their tax rates are to high. Moreover, tax procedures seem to be considered complicated at every firm’s size or sector, while tax morale decreases for bigger firms, as close to 70% of firms with more than 10 employees fully agree that it is justifiable not to declare all taxes. Another issue remains the fairness of tax officials, at less than 40% of firms somehow agree on that question.

Regarding the Corruption, as a key problem for a sustainable enterprise, Albania seems to perform worse than other countries in the region, particular in this area, although there are some recent improvements. More than 50% of the firms, state that busines cannot be conducted without bribes. Further, another half of the firms appears to notice that the relations between senior government officials and executives of private sector involve bribes or other contributions. The findings shown that is needed more transparency in public sector operations and a well–defined mechanism for complaints of the citizens and firms.

In terms of "Key business constraints in Albania" BA with support of ILO and IDRA, conducted the research and developed a Strategic Policy Framework  in order to highlight the key five constraints: Tax rates and tax administration, Corruption, High level of Informality and unfair competition, Inadequate training and skills mismatch, Weak legal and regulatory framework. The recommendations will be of benefit to policy-makers, business associations, trade unions and civil society in supporting on improvement of business climate, enable business growth, and make Albania a successful country.

The study "An Enabling Environment for Sustainable Enterprises in Albania" in framework of "Key Business Constraints in Albania" was conducted during October-December 2016, and IDRA was the organization for developing the methodology on assessing the key obstacles and quandaries of business in Albania. The study includes a combined methodolocical approach with the technical and financial support of the the International Labour Organisation (ILO),  and aims to raise the profile of Biznes Albania as policy actor in country. 

For more information please refer to: "An Enabling Environment for Sustainable Enterprises in Albania" Report (English)