Foreign Direct Investment in Real Estate and Its Impact on Tourism Development in Albania

This study explores the impact of foreign direct investment (FDI) in the real estate sector on tourism development in Albania over the past decade. The analysis draws on data reflecting investment trends and tourism dynamics, revealing a clear relationship between increased FDI and growth in tourism revenues and international arrivals. The findings indicate that foreign capital has played a pivotal role in improving tourism infrastructure, expanding accommodation capacity, and modernizing services, thereby strengthening Albania’s attractiveness in regional and international markets. Beyond direct economic effects, FDI has contributed to service quality improvements, diversification of tourism products, enhanced competitiveness, job creation, stimulation of local businesses, and increased fiscal revenues. The study emphasizes that sustained benefits depend on consistent public policies, supportive regulatory reforms, and favorable market conditions to ensure long-term, balanced, and sustainable tourism development.