The solvency of Albanian households has shown signs of weakening during the second half of 2025, while the weight of borrowing has continued to increase slightly, according to data from the Bank of Albania's Financial Stability Report and the survey on the financial situation of households.
The data shows that about 17% of households have at least one loan to repay at the time of the interview. This level has increased by 0.7 percentage points compared to the previous six months, but remains 0.5 percentage points lower than a year ago and significantly below the historical average of 26%.
However, debt burden indicators suggest a worsening situation. Around 78% of households declare that loan payments account for less than 30% of monthly income, but this ratio has decreased by 5% compared to six months ago and by 6% in annual terms. In parallel, the share of households for which loan payments exceed 30% of income has increased, signaling an increase in the financial burden for a portion of borrowers.
Regarding household perceptions, around 57% of borrowers state that their solvency has not changed during the second half of 2025, while 75% expect this situation to remain the same in the first half of 2026. However, indices measuring expectations for this indicator show a general deterioration and a lower level of optimism for the coming period.
On the other hand, demand for credit is expected to increase slightly. About 63% of households declare that they do not plan to take out new loans in the next six months. The share of those considering the possibility of taking out or refinancing a loan has increased by 1 percentage point compared to six months ago, but has decreased by 4 percentage points in annual terms, indicating a modest revival of demand for financing from households. /ekofin.al
