Balkan political instability and energy trade issues impact regional standing

Political instability and economic friction are impacting the geopolitical standing of Albanian-inhabited regions in the Balkans. Internal political struggles in Kosovo, Albania, and North Macedonia are cited as factors that weaken the collective regional influence, allowing Serbia to gain economic and geopolitical ground.

In Kosovo, a persistent lack of electricity trade with Serbia has resulted in significant financial strain. According to the Kosovo Ministry of Economy, the inability to trade energy across the Serbian border has cost the country and the region more than 150 million euros during 2024. To compensate, Kosovo must utilize alternative routes through Albania, North Macedonia, and Montenegro, which increases transmission costs.

In Albania, political and social crises have raised questions regarding its European Union integration prospects. Meanwhile, in North Macedonia, nationalist disputes and political shifts have created challenges for the rights of the ethnic Albanian population.