The Bank of Albania raised its key policy rate by 50 basis points to 1% during its March meeting, as it expects the surging global inflation to drive up the local consumer prices. Albania's consumer price inflation increased to 3.9% in February, higher than the Central bank’s target of 3%. It is expected to remain high for the rest of the year and in 2023, hurting the purchasing power of households and slowing down the economic growth. However, the economy is expected to continue its growth in 2022 based on the vastness and strength of growth sources, assuming that the Russia-Ukraine conflict will not evolve any further, as well as supposing that a combination of stimulating monetary and fiscal policies will continue to be implemented.At the same time, the overnight lending facility rate was raised to 1.9% from 0.9% and the overnight deposit facility was kept unchanged at 0.1%. source: Bank of Albania
Interest Rate in Albania averaged 3.90 percent from 2001 until 2022, reaching an all time high of 8.50 percent in April of 2002 and a record low of 0.50 percent in March of 2020. This page provides the latest reported value for - Albania Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Albania Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on June of 2022.
Interest Rate in Albania is expected to be 1.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Albania Interest Rate is projected to trend around 2.75 percent in 2023 and 3.00 percent in 2024, according to our econometric models.