Part 17

Diplomatic representation in the US: chief of mission : Ambassador Lublin DILJA chancery: Suite 1000, 1511 K Street NW, Washington, DC 20005 telephone: (202) 223-4942, 8187 FAX: (202) 628-7342

Diplomatic representation from the US: chief of mission : Ambassador Marisa R. LINO (15 July 1996) embassy: Rruga E. Labinoti 103, Tirane mailing address: PSC 59, Box 100 (A), APO AE 09624 telephone: (42) 328-75, 335-20 FAX: (42) 322-22

Flag description: red with a black two-headed eagle in the center

Economy

Economy - overview: An extremely poor country by European standards, Albania is making the difficult transition to a more open-market economy. The economy rebounded in 1993-95 after a severe depression accompanying the collapse of the previous centrally planned system in 1990 and 1991. However, a weakening of government resolve to maintain stabilization policies in the election year of 1996 contributed to renewal of inflationary pressures, spurred by the budget deficit which exceeded 12%. The collapse of financial pyramid schemes in early 1997 - which had attracted deposits from a substantial portion of Albania's adult population - triggered unrest in much of the south in early 1997. The economy continues to be buoyed by remittances of some 20% of the labor force which works abroad, mostly in Greece and Italy. These remittances supplement GDP and help offset the large foreign trade deficit. Most agricultural land was privatized in 1992, substantially improving peasant incomes. Overall economic performance is likely to be substantially worse in 1997; inflation will easily top 50% and GDP may drop by 5% or more.

GDP: purchasing power parity - $4.4 billion (1996 est.)

GDP - real growth rate: 5% (1996 est.)

GDP - per capita: purchasing power parity - $1,290 (1996 est.)

GDP - composition by sector: agriculture: 56% industry: 21% services: 23% (1995)

Inflation rate - consumer price index: 17.4% (1996)

Labor force: total: 1.692 million (1994 est.) (including 352,000 emigrant workers and 261,000 domestically unemployed) by occupation : agriculture (nearly all private) 49.5%, private sector 22.2%, state (nonfarm) sector 28.3% (including state-owned industry 7.8%); note - includes only those domestically employed

Unemployment rate: 13% (1996 est.)

Budget: revenues: $624 million expenditures : $996 million, including capital expenditures of $NA

Industries: food processing, textiles and clothing; lumber, oil, cement, chemicals, mining, basic metals, hydropower

Industrial production growth rate: 6% (1995 est.)

Electricity - capacity: 1.533 million kW (1995)

Electricity - production: 3.86 billion kWh (1994)

Electricity - consumption per capita: 1,221 kWh (1995 est.)

Agriculture - products: wide range of temperate-zone crops and livestock

Exports: total value: $205 million (f.o.b., 1995) commodities : asphalt, metals and metallic ores, electricity, crude oil, vegetables, fruits, tobacco partners: Italy, US, Greece, The Former Yugoslav Republic of Macedonia

Imports: total value: $680 million (f.o.b., 1995) commodities : machinery, consumer goods, grains partners: Italy, Greece, Bulgaria, Turkey, The Former Yugoslav Republic of Macedonia

Debt - external: $500 million (1994 est.)

Economic aid: recipient : ODA, $NA

Currency: 1 lek (L) = 100 qintars

Exchange rates: leke (L) per US$1 - 150.00 (May 1997), 104.50 (1996), 92.70 (1995), 94.62 (1994), 102.06 (1993), 75.03 (1992)

Fiscal year: calendar year

@Albania:Communications

Telephones: 55,000