Albania: A New Investment Destination for the Powerful

Albania’s allure for influential investors is growing, with high-profile, ambitious projects in the pipeline. This summer, Jared Kushner, son-in-law of former U.S. President Donald Trump, confirmed a €1 billion investment through his company, Affinity Partners, to develop luxury villas and hotels along Albania’s coast. Among these projects is a luxury resort on Sezan Island, overseen by the prestigious Aman Resort group.

After enduring a brutal dictatorship and decades of political volatility, Albania is positioning itself as a new investment frontier. Prime Minister Edi Rama, from his summer residence in Dhermi—a scenic coastal village—granted an exclusive interview to Luxury Tribune. Rama emphasized the growing interest Albania holds for investors, particularly in the digital and real estate sectors.

The site of former dictator Hoxha’s mausoleum in Tirana has been transformed into the Western Balkans’ largest tech hub, dedicated to supporting innovative startups. Rama’s government has introduced legislation favorable to new enterprises and implemented a business-friendly tax regime to attract international companies and talent.

Aiming to establish Tirana as Europe’s next tech hub—following in the footsteps of Dubai and Singapore—the government is also backing ambitious architectural projects. “Architecture is one of the tools we want to use to enhance our cities,” says Rama. “We envision Tirana as a global hub for modern architecture. We’re attracting a growing number of renowned architecture firms. A few years ago, interest was scarce, but now it’s thriving, with top firms eager to join us”. The Prime Minister eagerly highlights the roster of renowned "starchitects" invited to the capital. "We’ve managed to bring in talent from around the world," he explains, "including the Portuguese architect Álvaro Siza and his compatriot Eduardo Souto de Moura, who is working on a new tower in Tirana. Currently, eight or nine Pritzker Prize laureates are engaged in projects across Albania. This includes French architects Dominique Perrault and Jean de Gastines, who collaborates with Shigeru Ban. From the United States, we have Steven Holl, Jeanne Gang, and Elizabeth Diller, as well as Italian architects like Stefano Boeri, Piero Lissoni, and Massimiliano Fuksas."

Prime Minister Rama notes that while most architects are contracted by private companies and local developers, the government monitors these projects to ensure they serve the public interest and elevate the city’s global profile. The goal is to attract prestigious brands and bolster Tirana’s reputation as a city of architectural excellence.

Rama also expressed Albania’s aspirations to join the European Union. Since 2014, the country’s accession bid has been on the EU’s agenda but awaits approval. "The country needs investment. We’ve succeeded in developing major projects in the energy sector, and we’re now almost 100% renewable. We’re planning new wind and solar plants and aim to be fully self-sufficient by 2029. But we still rely on Europe in several areas, such as infrastructure and education. We look to follow Montenegro’s example—a small country that made remarkable strides thanks to high-end tourism and strong investments.”

Tourism also plays a crucial role in Albania’s strategy. Initially drawing tourists with affordable prices, Albania is now working to expand its offerings. “Low-cost tourism was an essential phase,” says Rama. “The stigma of past corruption has faded, but starting with budget-friendly services opened us to the world. We recognize the potential downsides of mass tourism, which is why we’re also advancing high-end tourism development.”

In addition to its unspoiled landscapes, Albania aims to integrate cultural tourism. The country boasts a vibrant art and literature scene, including Ismail Kadare regarded as national heritage, and a new generation of artists an writers making their mark internationally. Rama envisions organizing a biennial event to showcase Albania’s cultural wealth.

Albania hosted over 10 million visitors last year, making it the fourth fastest-growing international tourist destination, with arrivals up 56% compared to 2019. Under Rama’s administration, the government has facilitated the construction of a new airport in Vlorë, set to open in spring 2025.

Dubai’s Emaar Group, known for landmark buildings like the Burj Khalifa, has also started transforming the port of Durres into a major tourism hub. Global hospitality brands such as Meliá, IHG, and Marriott have embarked on five-star hotel projects. The InterContinental Tirana is scheduled to open in spring 2026 on Skanderbeg Square, with Spanish group Meliá Hotels International prioritizing Albania in its expansion efforts: it is currently the country's leading international hotel company. Albania will also be the host country for ITB Berlin 2025.

Significant projects continue to emerge. In 2017, the internationally renowned EAA-Emre Arolat architecture firm launched the “Green Coast” project, envisioning the construction of 2,200 luxury villas and seven five-star hotels including a MGallery (Accor) and a Grand Hyatt on untouched Albanian coastline. Currently, 500 villas are complete, with Swiss buyers comprising 20% of the international clients. The first ten years of new construction enjoy substantial tax breaks. Another major project, valued at €3 billion, aims to build luxury villas near Tirana.

In Albania, a group of outstanding entrepreneurs are helping to revitalise the country, including Dritan Gremi, owner of a medical tourism empire in Tirana. With multiple dental clinics in the capital, Gremi advocates for ethical standards in medical tourism and plans to introduce new regulations on licensing, material tracking, certification, and rigorous standards to elevate Albania’s image in the industry.

Another key player, Prime Minister Rama’s wife, Linda Rama, has been instrumental in Albania’s economic transition. From 1993 to 1999, she led efforts to privatize large state enterprises and spearheaded the National Privatization Agency. “I understood the challenges,” she says. “Albania had to catch up with Eastern Bloc countries like the Czech Republic, Poland, and Hungary, which had advanced reforms. They had institutions before communism and retained market structures, unlike us, who had no private economy. Catching up took time.”

Today, it appears Albania has made strides in closing that gap.