중동부유럽

Albania has been hit by two consecutive major shocks. On November 26, 2019 Albania was struck by a severe earthquake that killed 51 people and caused significant physical damage. In addition, the ongoing COVID-19 pandemic is severely disrupting economic activity, with the expectation of sharp declines in tourism, FDI, remittances, and temporarily restrained financing amid a tightening of global financial conditions. The authorities’ policy response to the shocks has been timely and targeted. Nonetheless, real GDP is expected to contract severely this year. The earthquake and COVID-19 pandemic, and the planned fiscal expansion to help cushion these shocks, have created urgent fiscal and external financing needs.