Bank of Albania: Energy payment reduces consumption

In the last report of the monetary policy, the Central Bank declared that after four positive trimesters, the internal private requests has shrank and given a negative influence in the economic growth.

According to her, the cause was the payment of old energy bills by families and the decrease of the consumers’ trust. Although the economic growth in the fourth trimester of 2014 was 2.4%, according to INSTAT, the Bank says it was due to the government spending, but the private demand has given a negative contribution to the production growth.

Official data of the corporation show that last year they have collected 100 million Usd more than one year ago, making it 0.7% of the GDP. Most of this data has been materialized in the last trimester, when the company presented the facilitating scheme for paying the obligations, which pardoned 80% of the delay fine.

Bank experts say that to compensate these payments, families have been forced to cut other consumptions.

Bank of Albania expects consumption to get better this year. They say the internal demand will be the main factor that will support the economic growth during this year, which will be higher than in 2014.

Top Channel