Investment visa in albania
1: Albania's Unique Position and Potential
Along the Adriatic Sea, surrounded by Greece, Montenegro, North Macedonia, and Kosovo, lies a small country – Albania. At first glance, Albania doesn’t really seem like a European country.
It’s not highly developed like Germany or the Netherlands, nor does it have world-class beaches or tourist havens to boast about, like its neighbors Montenegro and Greece.
However, Albania holds great potential. The country has recognized its shortcomings and is actively working on strengthening the private sector and improving the economy.
With a small non-Albanian population, the government is keen to attract foreigners to Albania, as they bring in foreign investment and enhance economic activities.
While it may not be the top destination for residence in Europe, Albania shows promise due to its potential for growth and development.
2: Liberal Foreign Investment Regime
Albania is actively seeking to attract international investors through its liberal foreign investment regime. The country offers lucrative incentives for foreign citizens who want to start a business or invest in the public or private sector.
The Albanian law “On Foreign Investment” allows 100% foreign ownership of companies and provides various legal perks for foreign investors. Additionally, economic zones are being established in major cities, such as Tirana, with further incentives for incorporating businesses in Albania.
Within these economic zones, property tax and real estate transfer tax are exempt for five years. With relatively low real estate prices and demand, Albania presents an attractive investment opportunity.
Foreign investors can benefit from competitive tax rates and strategic tax planning, resulting in potential cost savings. The liberal foreign investment regime makes Albania an appealing destination for those looking to establish their business presence in Europe.
3: Competitive Tax Rates
Albania offers competitive tax rates that make it an attractive destination for foreign investors. Corporate income above 14 million Lek (approximately $130,380) is taxed at a flat rate of 15%.
Thanks to various incentives provided by the government, foreign investors can expect to pay zero to single-digit tax rates in Albania, provided they fulfill specific requirements. Incentives like the 1 EURO Contract, which offers a €1 per year lease of state-owned property for investments, have made Albania an appealing spot for investments.
Additionally, tax reductions are available for investors in strategic sectors such as tourism and automotive. By taking advantage of these tax incentives and implementing strategic tax planning, investors can potentially save significant amounts of money.
Albania’s competitive tax rates, combined with its liberal foreign investment regime, create a favorable environment for foreign investors looking to establish or expand their business presence.
4: Candidate for EU Membership
After being under Ottoman rule for almost five centuries, Albania started reconnecting with its European roots in the late 19th century.
The Albanian authorities and population are eager to join the European Union (EU) and are actively working on adopting the EU’s legal framework to facilitate future ascension.
While the process of becoming an EU member is challenging and time-consuming, Albania’s efforts to align with EU standards create opportunities for foreign investors.
As the country progresses on its path towards EU membership, investments and regulations are expected to evolve. By establishing residency or investing in Albania at an earlier stage, investors can benefit from more affordable investment opportunities and lighter regulations.
Once Albania becomes an EU member, the investment landscape is likely to change, making early involvement in the country’s development advantageous for those seeking long-term opportunities in Europe.
5: Establishing Residency in Albania
Albania allows foreigners from visa-exempt countries to enter the country with a valid passport. Visa-exempt foreign nationals can legally stay in Albania for 90 days within a 180-day period. If you plan to stay longer than 90 days, you will need to obtain a residency permit.
Establishing residency in Albania can be a straightforward process, especially for those interested in investment or real estate opportunities. With the aim of attracting foreign investors, Albania has implemented legislation that provides avenues for obtaining residency through investment in the country.
By fulfilling the requirements outlined in the law, individuals can secure a residence permit and enjoy the benefits of living in Albania, such as access to a growing market, affordable living costs, and a pleasant Mediterranean climate.
6: Albanian Law "On Foreigners"
Albania has a specific law known as the “Law on Foreigners” that governs the entry, stay, and residence of foreigners in the country. This law outlines the procedures and requirements for obtaining residence permits, work permits, and other legal permissions for foreign citizens.
It ensures transparency and clarity in the process of acquiring residency in Albania. The law defines different categories of foreigners and their rights and obligations while residing in the country.
It also outlines the reasons for which residence permits can be granted or refused. Familiarizing oneself with the provisions of the “Law on Foreigners” is essential for those interested in obtaining residency in Albania, as it provides the legal framework for the process and helps ensure compliance with the country’s regulations.
7: Types of Residence Permits
Albania offers various types of residence permits that cater to different circumstances and purposes. The most relevant permits for foreign investors include the Residence Permit for Business and the Residence Permit for Investment.
The Residence Permit for Business is suitable for individuals who plan to establish a business in Albania or hold management positions in an existing business.
The Residence Permit for Investment is designed for those who want to invest a specific amount of capital in the country. Other residence permits include permits for work purposes, study purposes, family reunification, and humanitarian reasons. Each permit has its specific requirements and conditions, and applicants must choose the appropriate category based on their intentions and circumstances.
8: Duration of Residence Permits
Residence permits in Albania are typically issued for one year, and they can be renewed for subsequent periods. The duration of residence permits may vary depending on the category and purpose of the permit.
For example, the Residence Permit for Business and the Residence Permit for Investment are initially granted for one year, and they can be renewed for an additional two years. Residence permits for work, study, family reunification, and humanitarian reasons may have different renewal periods.
It’s important to note that continuous residency in Albania is required to maintain a valid residence permit, and individuals must comply with the legal obligations associated with their specific permit type.
9: Getting Albanian Residence by Investment
Albania offers a pathway for foreign investors to obtain residency through investment in the country. The Residence Permit for Investment allows individuals to acquire residency by making a specific investment in real estate, bank deposits, or shares in existing businesses.
The minimum investment required for obtaining the permit varies depending on the location and type of investment. By fulfilling the investment criteria and meeting the legal requirements, individuals can obtain a residence permit, providing them with the right to live and work in Albania.
This option appeals to investors looking for a European residency opportunity with the potential for economic growth and favorable living conditions.
10: Getting Residency in Albania through Real Estate
Another avenue for obtaining residency in Albania is through investment in real estate. The Residence Permit for Investment through Real Estate allows individuals to acquire residency by investing in properties in Albania. The minimum investment threshold varies depending on the location and type of property, making it accessible to a range of investors.
This option presents an opportunity to benefit from potential appreciation in real estate value while enjoying the advantages of living in Albania.
With its affordable property prices, diverse landscapes, and Mediterranean climate, Albania offers an attractive environment for those seeking residency through real estate investment.
11: Benefits of Albanian Residency
Obtaining residency in Albania offers several benefits to foreign investors and individuals seeking a new place to call home.
Firstly, it provides the right to reside and work in Albania legally, enabling individuals to explore business opportunities, seek employment, or retire in the country.
Secondly, residency in Albania allows access to the country’s growing market and potential investment opportunities, as well as the benefits of a competitive tax regime and strategic location. Additionally, Albania’s natural beauty, rich history, and vibrant culture make it an appealing destination for individuals looking to experience a different way of life.
Residency in Albania opens doors to a range of possibilities, whether in business, lifestyle, or personal growth.
12: Consulting Professional Services
Navigating the process of obtaining residency in Albania can be complex, especially for foreign individuals unfamiliar with the country’s regulations and procedures.
Consulting professional services such as immigration lawyers, real estate agents, or relocation specialists can greatly facilitate the process and ensure compliance with all legal requirements.
These professionals have the expertise and knowledge to guide individuals through the necessary steps, assist with document preparation, and provide valuable advice tailored to specific circumstances.
Working with professionals familiar with Albania’s residency procedures can save time, minimize potential pitfalls, and increase the chances of a successful application. It is advisable to seek guidance from reliable and experienced professionals to ensure a smooth and efficient process of obtaining residency in Albania.