January-March, the economy fell by 2.52% – Almost all sectors declined, except agriculture
The Albanian economy declined for the second consecutive quarter. Instat data show that for the first quarter of the year gross domestic product fell by 2.52%, further declining by 0.15% from the previous quarter. The outbreak of the Covid -19 crisis has shrunk production in the vast majority of economic activities. The construction has suffered the heaviest blow, with a decrease of 16.66%. In fact, this sector is believed to have been influenced in parallel by several factors, including the recent earthquake of 2019, but also by the completion of many major investment projects, especially in energy.
The other two high-growth sectors, trade and industry, also declined by 3.65% and 3.78%, respectively. Construction, industry and trade together contributed a negative contribution of 2.3 percentage points to the decline in production. Most other sectors of the economy also fell, with the exception of agriculture, real estate and entertainment. In particular, agriculture was the only sector that made a significant positive contribution, becoming the mainstay of economic growth for the first time in many years. This sector grew by 3.41% compared to a year ago and contributed positively by 0.71 percentage points in economic growth.