Abstract:
Since 2007 the world is facing a financial crisis with serious impact on the global economy. The Albanian economy is small; however, it is a part of the global economy. The effects of the crisis on the economic sectors especially on the financial system of Albania are of interest to many. In this paper we try to analyze the main areas of the banking sector and its key indicators affected by the crisis. We find that even though the crisis has touched Albania it has not considerably lowered the resilience of its banking system as no Albanian bank did go bankrupt or had any solvency issues. In addition, the latest months of 2010 have shown a recovery testifying for the effectiveness of the measures undertaken by the regulatory and supervisory authorities of the Albanian banking systems.