WB: “Ageing population in Balkan, threat for the economy”
05/04/2017 00:00
The Washington Agreement Must Be Reactivated! 06/01 19:04
The World Bank says that the Albanian working age group has dropped significantly, due to emigration.
Data from the World Bank show that compared to 2010, the number of Albanians aged 15 to 64 has dropped with 7%. A more negative balance was registered only by Bosnia, with 7.5%.
The demographic contraction of our country is a huge threat for the future of economy. The World Bank launched the alarm that due to this lower working force, the economic growth in the next years will be lower, since it will not be compensated by the increased work productivity.
But this is not the only threat. The reduced work force has huge consequences for the financial stability of the country too.
According to the World Bank, this tendency may deteriorate the balance between inactive and working persons, damaging the pension scheme as well.
This will put the government in front of the option to either raise taxes, or limit pensions, so that the debt does not get worse.
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