In January 2011, the American Chamber
of Commerce in Albania announced it expected the upward trend in infrastructure
construction to continue in the short run and to compensate for the decline in construction of
private buildings induced by the saturation of real estate market.
In the third quarter of 2010 construction recorded a 22% year-on-year decrease in terms of
value, and was the only sector in the Albanian economy with a negative growth rate of -2.5%
compared to the previous quarter. The sector shred some 20% off its value in the period
mainly due to a contraction in private construction. The Albanian Institute of Statistics
(INSTAT) reported a significant decrease of 21.1% on a yearly basis in the value added of
construction in the first quarter of 2010. The growth in the first two quarters of 2009 was
mainly driven by civil engineering projects financed predominantly from public sources. The
construction confidence index decreased continually throughout 2009. In the fourth quarter it
went down by 13 percentage points compared to the third quarter, falling to its lowest level
since 2002 when its measurement started.