The shareholder’s equity structure in Albania

The Albanian banking system began to develop with the market economy structure in 1992, when it was initially created the two tier system: Central Bank and secondary banks. In 1992, there were 3 banks with state capital: the Savings Bank, the National Commercial Bank, and the Commercial Agriculture Bank. During the last 20 years, there has been tremendous progress of the banking system, through the expansion of the new private banks, legislation improvement and dhe development of technology.

Today, the system is characterized by a relatively big number of private banks (16), financed primarily through deposits, and focused on the lending activity, primarily for businesses. The shareholder’s equity structure of the Albanian banks is featured in the table below (updated as of 31/12/2010).


^{Source: Bank of Albania
Analysis and Comments: Open Data Albania}

As you can see, the entire banking system is now privatized, and the biggest part of the capital is owned by foreign entities. Graphically the distribution of capital according to origin is shown below (as of 31/12/2010).


^{Source: Bank of Albania
Analysis and Comments: Open Data Albania}

The country with the biggest weight of capital is Greece with 25%, folllowed by Italy with 12%, whereas the domestic capital is at 11.4%. Other countries with an important weight are France, Austria, Switzerland, Germany, Kuwait and Turkey. The Albanian banking system does not present a noticeable concentration of capital in a particular country (excluding Greece), and this can be considered a positive element due to the diversification effect.

Contributer: ODA

Translated by: ODA

Edited by: ODA