THE PROGRESS AND ECONOMIC EFFECTS OF TOURISM ON THE ALBANIAN ECONOMY

Abstract

The tourism sector is intertwined and interacts with many other industries, thus being an important factor in the economy of all countries. It has become an industry with high capacity, which has made extraordinary achievements and successes in recent years. According to the World Travel & Tourism Council (2024), after a record-breaking year for Travel & Tourism, the sector remains a vital foundation for the economies of many countries and continues to support millions of jobs worldwide. In this way, even small and less developed countries can use tourism as a driver of economic development. Albania, as a developing country, has sufficient capacities to support economic development precisely in this sector. From an unknown country for tourism, it has become a tourist destination known even by quite developed European countries and other continents. The latest figures from INSTAT (Albanian Institute of Statistics) show that in 2024, about 11.7 million tourists from all over the world visited Albania. This has led to a significant increase in the role of tourism in Albania's GDP. According to data from INSTAT, the value added to the country's GDP from the tourism sector for 2023 has increased by 18.8% compared to 2022. Since tourism became one of the priority areas of economic development in the country, this was also reflected in the increased interest of businesses in investing in the field of tourism. Today, Albania offers a wide range of tourist activities, including almost all types of tourism, not only maritime and mountain tourism, but also historical, culinary, dental, religious, sports, etc., offering tourists wonderful views throughout the year and continues to be a growing destination for tourists from all over the world.