Euro hits historic low against Albanian Lek at 93.07

The Euro has reached a historic low against the Albanian Lek, dropping to an official exchange rate of 93.07 Lek per Euro. This decline represents a continuous downward trend over several weeks, marking a significant shift from the rate of approximately 93.57 Lek recorded in late July.

Economic analysts attribute the Euro's depreciation primarily to the peak tourism season, as the high influx of foreign visitors increases the supply of Euros in the local market. Additionally, long-term trends include significant foreign direct investment and large currency inflows from the real estate sector. Some reports also suggest that informal economic activities and large-scale real estate investments contribute to the increased demand for the local currency.

The Bank of Albania has been actively intervening in the foreign exchange market to mitigate the rapid strengthening of the Lek. Since the beginning of 2024, the central bank has withdrawn approximately 2.2 billion Euros from the market to stabilize the exchange rate. While these interventions have helped control the pace of the Euro's decline, they have not fully halted the trend.