WSEAS Transactions on Business and Economics | 2026
Authors: Dinoshi I.; Bezo A.
DOI: 10.37394/23207.2026.23.61
Journal: WSEAS Transactions on Business and Economics
Year: 2026
Publisher: World Scientific and Engineering Academy and Society
Document Type: Article
Open Access: All Open Access; Gold Open Access
Cited by: 0
This study examines the impact of public debt on Albania’s macroeconomic and financial stability, focusing on key indicators such as economic growth, inflation, and investment over the period 2010–2023. The authors apply a methodology that combines theoretical analysis with descriptive statistics, correlation techniques, and linear regression models, using official time-series data. The empirical findings reveal that public debt does not exhibit a statistically significant effect on GDP growth, indicating that Albania’s economic performance is shaped more strongly by structural and institutional factors than by debt levels alone. The results show a negative relationship between public debt and both inflation and investment, suggesting that in the Albanian context, higher debt levels may be associated with tighter fiscal conditions and a crowding-out effect on private sector activity. The paper contributes to the existing literature and offers policy-oriented insights on strengthening debt management, enhancing fiscal transparency, and supporting long-term financial stability. © 2026, World Scientific and Engineering Academy and Society. All rights reserved.
Albania; debt management; financial sustainability; fiscal transparency; GDP; Inflation; Public debt