News

The European Bank for Reconstruction and Development (EBRD) is conducting an assessment on business restructuring tools in all 38 economies where the EBRD is active. The assessment aims to provide detailed guidance on legislative gaps to address an expected increase in businesses needing to use formal restructuring procedures following the coronavirus pandemic. It also aims to provide an overview of the options within pre-insolvency and insolvency frameworks across these economies.

For more information read here: https://www.investment.com.al/ebrd-launches-assessment-tool-to-help-mitigate-coronavirus-impact/

Marlotex shpk is a manufacturing company operating in Berat with more than 15 years in Albania, led by Mr. Gasmen Toska and Mrs. Teuta Qose. Under the circumstances created by Covid-19 Pandemic, this company from the beginning of the lockdown has been adapted to the new reality by shifting its production to Masks and Gloves. Due to lack of local production for basic products such as textile masks, there was a high  demand also from outside Albania, which made Marlotex shift their  production to handle the high demand to providing these products, channelizing production to 8 companies in Albania and giving work to about 200 employees who have worked in mask ‘production units.

Official announcement by Vodafone Albania

Vodafone notes the press speculations that are circulating in the Albanian market regarding a potential exit of the company from the market.

Vodafone strongly denies these speculations.

Marlotex shpk is a manufacturing company operating in Berat with more than 15 years in Albania, led by Mr. Gasmen Toska and Mrs. Teuta Qose. Under the new circumstances created by Covid-19 Pandemic, this company from the beginning of the lockdown has been adapted to the new reality by shifting its production to Masks and Gloves. Due to lack of local production for basic products such as textile masks, there was a high  demand also from outside Albania, which made Marlotex shift their  production to handle the high demand to providing these products, channelizing production to 8 companies in Albania and giving work to about 200 employees who have worked in mask ‘production units.

Current approach of Business under Covid-19, short and long-term perspective

Dr. Constantin von ALVENSLEBEN

President of FIAA/ CEO OF Tirana International Airport (TIA)

Starting around 12^th of March, GoA stopped the regular passenger flight activity. First all flights from and to Italy were banned, then consecutively all other passenger flights except for the connection between Tirana and Istanbul. End of March, this service also stopped. Since then, TIA continues to service several cargo flights per day as well as humanitarian and repatriation flights. There are one or two repatriation flights daily, connecting TIA with European capitals. The provider is mostly Air Albania but sometimes also Albawings. A flight from an Albanian national to the EU requires confirmation from the respective Embassy of the destination country, and the destination country may require the passenger to undergo quarantine after arriving in the destination country.

2020 marks a special year for FIAA. 20 years ago, FIAA was established by the main Foreign Investors in Albania, thus turning into a reality their aspiration for the creation of such an organization in the country. The subsequent launch of FIAA was highly appreciated and welcomed by the Authorities, Business Community, as well as International Bodies present in Albania. Today, FIAA represents the most prominent foreign businesses operating in Albania originating from different geographies and active in various sectors of the economy.

There is no doubt that FIAA’s successes to become a highly reputable organization in Albania, has come a long way and is clear result of the commitment, efforts and trust of each and every member of the organization. Today, I am glad to see that we have built important and sustainable bridges of cooperation with important international organizations such as EBRD, IFC/WB, EU, IMF, UNDP as well as many diplomatic bodies.

Despite living in pandemic times and experiencing various difficulties, the private producers of hydro-energy with priority are faced with sudden developments in the Energy Regulation in Albania. Unfortunately, the small hydro power investors are not finding peace and long-term sustainability. Despite all the negotiations, consultations and the work done with the institutions in the last 5 years, there are other changes which are putting their investments in a pessimistic scenario.

The Board of FIAA has been following carefully the economic situation created by the pandemic and has tried to bring out main industry concerns of the members and addressed them to the authorities. Several virtual meetings have been conducted during April and May and continuous communication has been kept with the members directly by the Chairman. The Chairman of FIAA has also sent officially the main concerns on the main industries and raised the importance of gradual Opening of the economy.

The Board of FIAA has stressed out the importance of sectoral analysis and the continuity of communication, not only with the Members, but also with the Authorities. As such, it was sent a letter to the authorities with feedback from FIAA members.

During the last weeks, FIAA has been following with serious concern the situation created by the lock down and measures imposed to prevent further spread of the Covid-19 throughout Albania.

FIAA is aware that the business is living in critical moments and from many contacts with most of its members, FIAA has understood that this emergency situation has caused an unprecedented impact on their daily business. Business community is very concerned not only due to the current situation, but most of all from the uncertainty of the future.  The main issue being faced now is how to deal with work force and related costs, and also with payments to be made to the state budget and to third party suppliers. This is even of a bigger concern for those businesses that are completely locked down, therefore, FIAA has continuously asked for the Government’s attention and requested their intervention.

On 14^th of April, the Investment Council organized an extraordinary Zoom teleconferencing meeting to discuss on the impact of the COVID-19 pandemic on business in Albania, focusing on the financial and economic measures taken by the government to cope with the consequences of the pandemic, main business concerns, including as well potential measures to be taken in the near future.

FIAA was represented by its chairman Mr. Constantin von Alvensleben, who, together with the other business organizations participants, have urged to the government to take meaningful support measures. The requests mainly extended to: unemployment, fiscal relieves at central and local government level (e.g. timely VAT reimbursement and alleviation of penalties by the tax administration), liquidity and subventions for the re-boost of specific sectors such as the agro-industry. For certain industries, measures need to be taken for the companies to avoid employee lay-offs, including options for reshaping penalty requirements which should be mitigated during this period.