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Albanian Times, Vol. 2, No. 2, January 15, 1996

From: Albanian Times <AlbaTimes@aol.com>

The Albanian Times (by AlbAmerica TRade & Consulting International) Directory

CONTENTS

  • [01] Tirana Court Orders Arrest of Former Communist Officials

  • [02] Austria's Klestil Pledges Support for Albania

  • [03] Berisha Gets High Marks In Opinion Poll

  • [04] New Greek Premier Set For Change

  • [05] Tirana Hails Choice of Greek PM

  • [06] Albania in Berlin's Green Week Fair

  • [07] Officials Move Ahead With Privatization Scheme

  • [08] Berisha Says China Visit Important

  • [09] Hungarian President to Discuss Economic Ties in Tirana

  • [10] Flights to Tirane on Rise

  • [11] Montenegrin Authorities Block Two Way Traffic With Albania

  • [12] Albania Cracks Down on Customs Fraud

  • [13] Albania Ranked 82nd Best Place to Live

  • [14] Privatization Grows in Albania

  • [15] Greece Welcomes Move On Visa Requirements

  • [16] Industrial Production Fell in Third Quarter

  • [17] ATMs Soon in Tirana

  • [18] Albanian Tourism on Rise

  • [19] Handbook on Albanian Labor Market

  • [20] $800 Million Investments In Tirana During 95

  • [21] Albanian Left Backs Market Reforms Before Elections

  • [22] Albania Lifts Visas For Greeks

  • [23] Job Training Center Opens in Vlora

  • [24] Cigarette Smuggling Hurts Domestic Production

  • [25] Bulgaria to Complete Rail Link With Macedonia


  • [01] Tirana Court Orders Arrest of Former Communist Officials

    A Tirana court ordered the arrest of nine former officials for alleged crimes during the communist regime, Albanian media reported on January 20. Former politbureau members Simon Stefani, Manush Muftiu, Llambi Gegprifti, Foto Cami and Hekuran Isai are among the persons whose arrest was ordered. They are part of a long list of former officials accused of trespassing the constitutions of the period in which they served and of committing crimes against the population. The list containing 36 names was prepared by a group of intellectuals and includes former President Ramiz Alia. No court order has been released for the arrest of Alia who has already served prison term for abuse of public funds. A court order for the arrest of 14 other former officials was released last month. (Albanian Times, January 20)

    [02] Austria's Klestil Pledges Support for Albania

    Austria will support a start of negociations on Albania's eventual admission to the Europian Union, Albanian President's office said on January 20. The statement came after a meeting in Vienna between Albanian President Sali Berisha and Austrian President Thomas Klestil. Klestil said it would be reciprocally beneficial if powerful and successful Austrian companies invest in Albania. He promised more investments in support of Albania's backward infrastructure, Berisha's office said. Berisha, returning from a China trip, praised relations with Austria, saying "they correspond with the friendship between the two countries." (Albanian Times, January 20)

    [03] Berisha Gets High Marks In Opinion Poll

    A survey conducted by U.S. polling firm Public Opinion Strategies, shows that President Sali Berisha has a strong approval rating with over 40 percent of voter support, Reuter reported on January 20. About 41 percent of those interviewed said they would vote for Berisha and his Democratic Party and 19 percent said they supported the opposition socialists and their jailed leader leader Fatos Nano. About 16 percent of voters were undecided or declined to respond. The poll shows 61 percent of eligible voters had a favourable impression of Berisha, while 37 percent said their impression was unfavourable. Two percent were undecided. The general elections will likely take place in May and must be held in the first half of 1996. The date will be set once Albania's parliament is dissolved in March. In 1992, Berisha's Democratic Party won 62 percent of the vote, with 65.71 percent of the seats in the 140-member parliament. The Socialists won 25.73 percent, with only 27.14 percent of seats. International financial organisations have praised Albania's economic record since the democrat take over, reining in galloping inflation to six percent a year in 1995, boosting economic growth and keeping a stable exchange rate for the local currency, the lek. The new opinion poll showed 66 percent of voters were satisfied with the progress of economic reforms, while 33 percent were not. The survey polled 1,050 eligible voters across Albania from December 4 to 16, 1995.

    [04] New Greek Premier Set For Change

    New Prime Minister Costas Simitis's new cabinet is likely to focus on turning around Greece's ailing economy and keeping the ruling socialist party united, Reuter reported on January 20. Simitis, 59, a German-educated lawyer and economist faces the tough task of bringing in enough younger reformists to push for change and keeping enough of the old guard to hold the party together. He is an advocate of more development funds, more privatisation and greater compliance with European Union standards. Simitis is expected to make sweeping changes not only at major ministries but on the boards of state companies and banks. The most striking change is likely to be at the foreign ministry where Papandreou's personal friend Karolos Papoulias looks set to pass the portfolio to Theodoros Pangalos, the outspoken former European Affairs minister. The new premier has called for a less emotional approach to Greece's fragile relations with Balkan neighbours Albania and the former Yugoslav republic of Macedonia, saying economic ties should be strengthened. He will swear in the government on January 20.

    [05] Tirana Hails Choice of Greek PM

    Albanian Prime Minister Aleksander Meksi welcomed the election of Costas Simitis as Greece's new prime minister and said he hoped the Albanian-Greek relations will be a model for cooperation in the region and beyond, Radio Tirana reported. Albanian-Greek relations have shown signs of improvements since last spring after a bitter dispute in 1994 when Albania convicted five ethnic Greeks on espionage charges. This month, Albanian President Sali Berisha lifted visa requirements for Greek citizens although Albanians still require visas for Greece. An estimated 300,000 Albanians have illegally entered the country in recent years mostly in search of seasonal jobs. (Albanian Times, January 19)

    [06] Albania in Berlin's Green Week Fair

    Liquors, honey, olive oil, fish and vegetables are Albania's major items in Berlin's Green Week Fair. Albanian officials say they are trying to improve marketing techniques, a lesson they have drawn from last year's participation. The Ministry of Agriculture and Food is acting as coordinatior for the Albanian private companies which are exhibiting their produce on their own expenses, officials said. (Albanian Times, January 19))

    [07] Officials Move Ahead With Privatization Scheme

    Many Albanian hesitate to invest their privatization vouchers, Radio Tirana reported. About 30 percent of vouchers distributed so far have not been invested. Vouchers have dropped 20-22 percent in real value and many think this is not the right time to invest. Vouchers are going through a lot of unregulated trading which officials do not consider illegal. In an attempt to speed up privatization, the government is encouraging people to visit Savings Bank branches in their living areas to withdraw their share. Citizens of Tirana and Albanian citizens living abroad have until the end of January to withdraw their vouchers, officials say. the government has set the end of June as the deadline when all vouchers must have been invested or they would turn into valueless paper. (Albanian Times, January 20)

    [08] Berisha Says China Visit Important

    President Sali Berisha described his three day China tour as very important and a complete success. "In talks with President Jiang Zemin we agreed to enhance political and economic cooperation" Berisha told TV interviewers in Beijing. "I asked the President (Jiang Zemin) to encourage Chinese investments in Albania and I presented him the real possibilities that exists in Albania for foreign investments," Berisha said adding that President Jiang was willing to renegotiate Albania's debt to China, estimated at $35 million. Trade between the two countries amounts to $20 million, up from 1992. Recalling past ideological friendship between the two communist governments, Berisha said China gave Albania a precious aid but it was mismanaged by the Albanian leadership of that time. This is the highests ranking visit by an Albanian official to China since the two countries broke apart in late 70s. (Albanian Times, January 18)

    [09] Hungarian President to Discuss Economic Ties in Tirana

    Hungarian President Arpad Goncz will focus on economic issues when he visits Albania this month, a Hungarian diplomat told reporters in Tirana. Hyngary is willing to deepen economic cooperation with Albania, the secretary of the Hungarian embassy in Tirana Shandor Abai said. A big team of investors which will accompany the President during his visit from January 24 to 26, will seek specific possibilities to invest in Albania, the Hungarian diplomat said. The two sides are expected to sign agreements on lifting reciprocal taxation and protecting investments, the official said. The agreements aim at improving trade relations between Hungary and Albania which according to Mr. Abai have been declining in the recent years. Albania's biggest trade partner is Italy followed by Greece. Statistics show that Albania's trade with other former European countries is rather insignificant. (Albanian Times, January 18)

    [10] Flights to Tirane on Rise

    Flights to Tirane's Rinas Airport are set to increase to 60 per week, nine times the 1991 figure, the Albanian news agency ATA reported. The number og passengers using the airport has risen to an average of 4,000 per week. Some 14 airlines, including Malev, Alitalia, Swissair and Austrian Airlines, now operate services to Rinas, some for the first time, ATA said. In 1991, 60 percent of passengers were foreigners. Now, 55 percent are domestic travellers, mainly business people, the agnecy added.

    [11] Montenegrin Authorities Block Two Way Traffic With Albania

    Montegrin custom officials have blocked passage of vehicles carrying goods from Albania into Montenegro, Voice of America in Albanian reported on January 12. Montenegrin trucks are also blocked at the border with Albania. The move comes after Podgorice authorities doubled tariffs imposed on Albanian citizens entering Montenegro since the beginning of the year. The reasons for stalling border traffic are still unclear. The border checkpoint at Hani i Hotit was opened weeks ago after a three and a half year long closure due to the UN economic embargo on the former Yugoslavia which Albanian had pledged to help implement. The new move by Montenegrin authorities has frustrated hopes among Albanian business people, VOA said. Both sides are expected to hold discussions on the issue.

    [12] Albania Cracks Down on Customs Fraud

    Albanian authorities have discovered financial abuse in some customs agencies in the city of Durres, officials said. A number of customs agencies engaged in illegal activity by using false clearing papers. The false customs receipts and stamps were said to belong to Italian companies operating in Albania and were confiscated. Authorities have begun a large scale investigation believing that the incident may be related to a fraudulent ring with outside connections. (Albanian Times, January 12)

    [13] Albania Ranked 82nd Best Place to Live

    Using its controversial yardstick, the Human Development Index, the United Nations ranked Albania the 82nd best place in the world in which to live. The index takes into account income rankings and less easily qualifiable dimensions such as political freedom, environmental sustainability and racial and gender equality. The 10 best places to live, starting with the most desirable are Canada, the United States, Japan, Netherlands, Finland, Iceland, Norway, France, Spain and Sweden. The 10 worst places to live, ranked starting from the worst, are Niger, Sierra Leone, Mali, Ethiopia, Afghanistan, Burkina Faso, Guinea, Mozambique, Somalia and Burundi.

    [14] Privatization Grows in Albania

    The head of the Albanian National Privatization Agency, Niko Glozheni said 7,150 people have become shareholders in the second group of 30 commercial companies which were created by the government's mass privatization program. "The process of privatization has been successful in 1995," Glozheni said. He told reporters that at the end of the second round of privatization, the total value of bonds used was estimated at about $1 billion. Glozheni said that the enterprizes set up in this round were more successful than those of the first round. The plastics factory in Lushnja had the largest number of shareholders with 750. The registration of 20 companies in the third round started on December 29. (Reuters)

    [15] Greece Welcomes Move On Visa Requirements

    Greece welcomed Albania's lifting of visa requirements for Greeks, saying the move will help improve fragile relations between the two Balkan neighbours, Reuter reported on January 11. ``This decision now ends discriminatory treatment, eases contact and especially economic cooperation between the two countries,'' a Foreign Ministry statement said. Albanian business community in Gjirokaster also expressed satisfaction over the move, Voice of America in Albanian reported. President Sali Berisha issued a decree on January 11 lifting the visa requirement he had imposed in September 1994 during a crisis in Greek-Albanian relations. Since then Greeks had been the only European Union nationals to require a visa. Albania lifted visa demands for all EU nationals after emerging from decades of Stalinist isolation in 1990. Athens and Tirana clashed after Albania convicted five ethnic Greeks on espionage and arms charges, which led to mutual recriminations and a tit-for-tat expulsion of diplomats. A visit by Greek Foreign Minister Karolos Papoulias to Tirana last March warmed relations but talks in Athens in August failed to resolve a disagreement over independent schools for ethnic Greeks in southern Albania. Also testing relations is a long-standing demand by Tirana for Athens to allow some 300,000 illegal Albanian immigrants in Greece to take up seasonal jobs legally. Athens says the illegal flow of immigrants, who are a major factor in supporting the Albanian economy, must be stemmed before they acquire legal status.

    [16] Industrial Production Fell in Third Quarter

    The index of industrial production has in the third quarter of 1995 reverted to a lower figure of 71,9 percent (although about 33 percent higher than in 1994). Apart from electric energy and metallurgy, all other sector of of industry achieved between 30 and 90 percent production, testifying to failure to exploit existing production capacity. During the third quarter, production of phosphate fertilizers began, but the chemical industry remained at a production rate of 32 percent. Mine production has yet to reach triple figures, but has done better than the 32 percent production of food industry, 35,2 percent in the clothing industry, and 32 percent in shoe leather. And while agricultural production is increasing, the food industry is not responding with processing capacity, leaving the market open to a flood of imoported food. (Koha Jone)

    [17] ATMs Soon in Tirana

    Albanian Savings Bank has plans to introduce automatic tellers in 1996, Radio Tirana reported. The first ATMs (bankomats) will be set up in Tirana to gradually expand in all other districts. The bank also plans a massive introduction of checking activity in a country where many people still go around with cash stashed pockets or bags.

    [18] Albanian Tourism on Rise

    In 1995, Albania was visited by 57,000 tourists or 27.8% more than the previous year, newspaper Dita reported on January 11. Most of the visitors were from European countries. Last year, investments in tourism amounted to about $150 million. Such type of investments are exempted from income taxes for the first five years. For the subsequent five years, investors in tourism pay only 50% of the normal taxes. Land rents are also indirectly subsidized by deductions. Customs regulations concerning the import of materials needed for the construction of hotels and other tourist infrastructure have also been simplified. Southern Albania is a preferred target for most tourist. They travel there from Corfu or other parts of Greece but spend only a few days.

    [19] New Book on Albanian Labor Market

    The Statistics Institute Instat has published the handbook "The Albanian Labor Market in Transition." This is the first publication of its kind in Albania, and contains detailed data about workers, unemployment, and pay. The figures have been extracted from essential data recorded in the last 10 years in Albania. The most noticeable changes occurred during the fall of communism. This inevitably difficulyt transition for Albania was accompanied by a great deal of social distress in both employment and living standards. The labor force shrank significantly. The working age population of Albania is now 1,780,000 or about 100,000 less than in 1989. Labor force in 1995 included 1,420,000 people, of whom only 1,160,000 are considered as employed, the rest are job seekers. The most painful aspect of the Albanian society is the number of working age invalids, which has risen to 23,138 or 12 percent more than in 1989. Unemployment in 1995 fell to 12 percent, the lowest level in the last 4 years. Most of Albanians are employed in the private sector. (Republika)

    [20] $800 Million Investments In Tirana During 95

    In 1995, foreign and domestic private investments in Tirana alone amounted to $640 million against $160 million in public investments. Priority sectors for both foreign and domestic investments in Albania during last year were the Telecom, Energy Corporation (KESH) and infrastructure in general. (Albanian Times, January 11)

    [21] Albanian Left Backs Market Reforms Before Elections

    Leaders of Albania's opposition Socialist Party, pledging to press on with market reforms, said on January 10 they were confident of ousting ruling Democrats from power in a general election this year. ``We are heading for elections with the growing confidence of achieving a convincing victory,'' Socialist vice chairman Servet Pellumbi told a news conference. Parliament must be dissolved in March but no date for Albania's third free general election has yet been set. Pellumbi said the Socialists would draw up an election manifesto in March, sanctioning further market reforms but with a kinder social face, introducing packages to aid those hurt by the economic transition. He added: ``There will be neither a turning back nor a lowering of the speed in proceeding with reforms.'' International financial organisations have praised Albania's economic record since the Democrats took over government, reining in galloping inflation to six percent in 1995, boosting economic growth, and keeping a stable exchange rate for the local currency, the lek. Allegations of corruption in the government and judiciary, unemployment and crippling power shortages might turn the tables in favour of the left, political analysts said. Pellumbi said the Socialist Party was open to alliances before and after the elections in order to secure a more professional government with a broader social base. Pellumbi gave a guarantee that if his party came to power, it would respect all international agreements and seek to comply with conditions to gain membership of NATO. (Reuter)

    [22] Albania Lifts Visas For Greeks

    Albanian President Sali Berisha issued a decree lifting visa requirements for Greeks in a further effort at improving relations between the two Balkan neighbours, Reuter reported on January 10. ``The presidential decree orders the removal of visas for Greek citizens entering the territory of the Republic of Albania,'' a statement from the presidential office said. The Greek embassy in Tirana said it had no immediate comment on the surprise move. Athens had long wanted Tirana to allow Greeks to travel freely in and out of Albania without a visa, along with citizens of other European Union countries. Albanians still require visas for Greece. Berisha slapped a visa requirement on Greeks in September 1994 after Athens closed its border with Albania. The two Balkan states clashed after Albania convicted five ethnic Greeks on espionage and arms charges, which led to mutual recriminations and a tit-for-tat expulsion of diplomats. Ties began improving following a ground-breaking visit by Greek Foreign Minister Karolos Papoulias to Tirana last March but subsequent talks in Athens failed to resolve a disagreement over the establishment of three independent schools for ethnic Greeks in southern Albania. The stalemate led the Greek government to refuse a deal allowing some 300,000 illegal Albanian immigrants in Greece to be able to take up seasonal jobs legally, a long-standing demand by Tirana.

    [23] Job Training Center Opens in Vlora

    A Danish-Albanian training and employment center has opened in Vlora, Rilindja Demokratike reported on January 10. The project, offers computer and language courses as well as training for plumbers, heating installators, electricians and other job professionals. The Albanian government is providing $200,000 and the Danish Ministry of Labor is adding $280,000 to fund the center. Danish and Albanian personnel will be teaching there. (OMRI)

    [24] Cigarette Smuggling Hurts Domestic Production

    Albanian tobacco and cigarette production is being hit by by increased smuggling of foreign brands, newspaper Dita reported on January 7. Albania's tobacco industry employs about 100,000 people. In 1994, domestic production was 28% of that in 1990, according to the Ministry of Agriculture and Food. It increased again in 1995 but only to 43% of the communist-era production. Albanian tobacco can hardly compete with Bulgarian, Greek or Italian products, which are directly or indirectly subsidized, the paper said. About 80% of all cigarettes consumed in Albania are imported. According to government figures, only an estimated 27% of imported cigarettes are taxed. A cigarette factory in Shkoder has been closed down and another in Durres, the largest in Albania, works on reduced capacity. (OMRI)

    [25] Bulgaria to Complete Rail Link With Macedonia

    Bulgaria plans to complete its section of a railway link with Macedonia several months before its Balkan neighbour builds the rail route on its territory, a senior railway official said on January 10. ``We will complete all our construction works a few months before our neighbours,'' Bulgarian State Railway (BSR) director general Anguel Dimitrov told reporters. Bulgaria and Macedonia agreed to complete construction of a railway and motorway link between Sofia and Skopje last October. The planned routes are part of an agreed project for constructing an East-West link from Turkey via Bulgaria, Macedonia and Albania and by sea to the Italian port of Brindisi. All five countries are involved with the project. Dimitrov said he had information that work on Macedonian territory had been slowed down. Bulgaria has only two km left to complete of its railway link from Sofia to the Macedonian border but the Macedonians still have long and complex stretches to build, transport officials said.


    The material was reprinted with permission of AlbAmerica Trade & Consulting

    International. For more information on ATCI and the Albanian Times, please

    write to AlbaTimes@aol.com

    Copyright (c) ATCI, 1996

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