How productive is the Albanian economy? Albanians work long hours, but produce only 995 lek per hour
The Albanian economy generated an average of around 995 lek for each hour worked during 2024, according to a calculation based on official INSTAT data on Gross Domestic Product, employment and average working hours.
The data shows that the country's Gross Domestic Product reached 2.517 trillion lekë during 2024, the year with complete data. In the same period, the number of employed people in Albania was 1.2 million, while employees worked an average of 41.3 hours per week.
Based on these indicators, the Albanian economy results in having produced an average of about 995 lek for each working hour during 2024.
The OECD defines labor productivity as the ratio between Gross Domestic Product and the total number of hours worked during the year. So, the calculation is made by dividing Gross Domestic Product by the total number of hours worked during the year, according to the formula used to measure labor productivity.
However, international comparison places Albania far behind the most developed economies. According to the OECD, which measures “Gross Domestic Product per hour worked” this time through the Purchasing Power Parity (PPP) methodology, Albania produces only 17.6 international dollars for every hour worked.
In the world's most productive countries, the gap is much wider. According to the OECD, Ireland leads the way with $151 produced per hour worked, followed by Norway at $132 and Luxembourg at $125. The United States produces $97 per hour worked, while Germany produces $88. The OECD average is $71 per hour worked.
This may be related to the low level of productivity and the structure of the Albanian economy, while economies with higher productivity rely mainly on technology, advanced industry, automation, and sectors with high capital intensity.
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