Albania’s gross external debt widens 0.6% y/y at end Q4

Albania’s gross external debt widens 0.6% y/y at end Q4
By bne IntelliNews March 23, 2018

Albania’s gross external debt widened by 0.6% y/y to €7.928bn at the end of the fourth quarter of 2017, following a 0.6% annual decrease in the previous quarter, data from the central bank indicated on March 23. Quarter-on-quarter, Albania’s end-December gross external debt rose by 1.2%, the data indicated. 

The IMF recently said that given the high level of Albanian public debt of 71.2% of GDP at end-2017, negative shocks such as a slowdown in growth combined with higher interest risk premia and exchange rate depreciation, or realisation of contingent liabilities, could adversely affect debt and external sustainability, necessitating a sharp fiscal adjustment. External debt is estimated at 36.2% of GDP at end of 2017, up from 34.3%of GDP in 2016.

General government debt accounted for the bulk of the total debt in Q4, €3.529bn, and was up by 4.8% y/y. Government debt went up by 2.8% q/q.

The banking sector’s debt increased 2.7% y/y to €1.386bn at end of Q4, of which €1.230bn was short-term debt. The central bank's debt dropped to €57mn from €63mn a year ago.

Standard & Poor’s (S&P) Global Ratings agency in February affirmed its 'B+/B' long- and short-term foreign and local currency sovereign credit ratings on Albania.

Data

Dismiss