Materials

The development of women's entrepreneurship in Albania

SMEs are the main driver of economic growth in Albania and job creation. The inclusion of women in business is a potential that should be exploited for further growth of the country's economy as well as women's self-employment and economic empowerment. Women entrepreneurs in Albania face many challenges; not only those faced by male entrepreneurs, but also factors such as social prejudice and mentality, especially in rural areas.

According to the Business Register (INSTAT 2019), women manage / own 25.7% of a total of 2018 total active businesses out of 29.7% on year 2017 with a drop of 4 percentage points. Tirana prefecture has the largest concentration of businesses leaded by women, with 41.4%. Businesses managed by women are mainly businesses with 1-4 employed and represent 91.2% of this group. However, 19.6% of businesses with 50 or more employed are managed or owned by women. Further 84% of businesses leaded by women manage service activities mostly in trade and 86.7% of them have legal form as a natural person.

Number of businesses leaded by women over the years indicates that an increase in their participation in business from 2005 to 2015, which peaked with 31.3% and then have a significant reduction from year to year until 25.7% in 2018. This figure is 3 percentage points lower than that of 2013 (27.8%). Also, the number of women entrepreneurs has been reduced by about 12.3%, from 47.706 in 2015 to 41.825 in 2018.

According to the prefectures, the largest decrease of businesses lead by women is observed in the region of Berat from about 28% in 2013 to 18% in 2018, followed by Fieri from about 27% in 2013 to 19% in 2018, and Korça from 26 % in 2013 to 18% 2018.

From 2015, the registration of farmers with NIPT has started and their inclusion in the Business Register of INSTAT, in the group of businesses with 1-4 employed. The number of women farmers registered in 2018 turns out to be 10% of all registered farmers with a decrease of 3.7 percentage points compared to 2017, but with an increase of 2 percentage points  compared to 2015. 

Only a few national scheme for sharing the costs have been in place to support women entrepreneurs which originate from the years 2007-2008, but their value is small and does not meet the needs of enterprises managed by women, especially start-ups.