An Overview of Foreign Direct Investment in Albania

Abstract

The aim of this study is to provide a clear picture of the value and country of origin for foreign direct investment to understand more clearly the current situation and the trend of foreign direct investment in Albania. The data published by the Bank of Albania show that FDI has a significant upward trend in Albania and an extension to more and more sectors of the economy. For empirical analysis, we used regression with primary data obtained from the World Bank for a period of 27 years analyzed with the statistical program SPSS 20. Based on the results of empirical analysis we came to the conclusion that foreign direct investment has had a positive effect on growth in Albania. In addition to the direct positive effect observed on economic growth, it is worth mentioning that foreign direct investment is very important for the country as it plays an important role in infrastructure, employment and consumption.