THE THREE MAFIAS DESTROYING ALBANIA’S ECONOMY: THE BANKING MAFIA, THE PHARMACEUTICAL MAFIA AND THE FUEL MAFIA — THE STATE MUST ESTABLISH THREE BANKS FOR TRADE, AGRICULTURE AND DOMESTIC BUSINESSES
By Flamur Buçpapaj
Albania cannot build a strong and sustainable economy as long as citizens, farmers, traders, entrepreneurs and manufacturing businesses face high costs, difficulties accessing finance, weak competition and a lack of effective protection mechanisms. In a country where a large part of the population struggles to cover everyday expenses while small businesses fight to survive, the state must seriously examine how strategic markets operate and whether abusive practices exist that harm the public interest.
Three sectors require particular attention: the banking system, the pharmaceutical market and the fuel market. These sectors directly affect the lives of citizens and the functioning of the entire economy. When banking costs are high, medicines become unaffordable and fuel prices place a burden on transport and production, the consequences extend far beyond individual consumers. They spread throughout the economy, increase product prices, reduce purchasing power and weaken the competitiveness of domestic production.
These developments may be politically described as three forms of economic pressure on society. However, any allegation of criminal organisation, secret agreements, corruption or market manipulation must be supported by evidence and investigated by the competent authorities. For this very reason, Albania needs independent institutions, transparency, financial investigations and an economic policy that places the public interest above narrow private interests.
1. The Banking Mafia and the Cost of Money
The banking system is one of the main pillars of the modern economy. Banks collect citizens’ deposits, finance businesses, process payments and influence investment, employment and development. Therefore, when banking service costs become burdensome, access to finance becomes difficult or sufficient competition is lacking, the consequences are felt throughout the country.
Citizens pay fees for account administration, cards, transfers, withdrawals, payments and other services. Businesses face commissions, loan interest, transaction fees and financing conditions that can directly affect the prices of their products and services. For a small enterprise, every additional cost may mean less investment, fewer employees and fewer opportunities to expand.
To illustrate the potential scale of a recurring cost, consider a hypothetical example: if 100,000 accounts each paid an average of €10 per month in a particular fee, the total would reach €1 million per month, or €12 million per year. This is a mathematical illustration only, not a claim that Albanian banks collect precisely this amount through a single fee. The actual amount would need to be calculated using specific fee schedules, the number of accounts subject to each fee and verified data.
Nevertheless, this example shows that even small fees, when applied to a large number of accounts, can create a considerable burden for citizens and businesses. The Bank of Albania and consumer-protection authorities should therefore ensure full transparency regarding fees, interest rates, the actual cost of loans and contractual terms. Citizens must clearly understand what they are paying for and what service they receive in return.
The problem is not the existence of private banks, which are an essential part of a market economy. The problem arises when competition does not function properly, consumers lack real alternatives, information is unclear or prohibited agreements and abusive practices may exist. In such cases, the authorities must investigate, publish their findings and enforce the law.
Where concrete indications exist, investigations should also examine money laundering, illegal financing, financial fraud, misuse of inside information, lending in violation of regulations, conflicts of interest and suspected links between financial interests and political decision-making. No financial institution should be above the law. However, no bank should be labelled criminal without evidence and without due legal process.
Money laundering can involve complex transactions, intermediary companies, properties, businesses and financial structures designed to conceal the origin of funds. Combating this phenomenon requires professional transaction analysis, identification of beneficial owners, inter-institutional cooperation and information-sharing with international partners in accordance with the law. Data-analysis technologies and artificial intelligence can help identify suspicious patterns, but they must be used with human oversight, data protection and respect for citizens’ rights.
Whistleblowers who report suspected violations in good faith should also be protected. Financial-investigation capacity must be strengthened, and cooperation between domestic institutions and international organisations must improve, including through relevant police and financial cooperation structures. When violations are proven, investigations should produce concrete outcomes: individual accountability, legal measures, asset seizure where the legal requirements are met, and fair judicial proceedings.
Albania needs a banking system that is viewed not merely as a channel for collecting deposits and selling services, but also as a partner in economic development. Credit should be accessible to responsible businesses, manufacturers, farmers, exporters and entrepreneurs who create jobs. An economy that mainly finances consumption and short-term activities, while failing to adequately support production, risks remaining dependent on imports and external sources of capital.
2. The Pharmaceutical Mafia and the Right to Health
Health is not a luxury, and medicine is not an ordinary consumer product. For someone with a chronic illness, an elderly person, a low-income family or a parent who needs to buy medicine for a child, the price of medication can determine whether treatment continues or is interrupted.
When medicine prices are high, affordable alternatives are unavailable or citizens lack sufficient information about product quality and origin, the economic and health burdens increase. The state has a duty to protect patient safety, guarantee the quality of medicines and ensure that the market operates according to competition rules and the public interest.
Any suspicion of price manipulation, prohibited agreements between operators, conflicts of interest in procurement, preferential treatment of companies or the introduction of products that fail to meet standards must be examined through documents, contracts, comparable prices and verifiable evidence. Public accusations alone are not enough; professional investigations, institutional accountability and publication of results are necessary.
Authorities should analyse medicine prices in Albania in comparison with comparable markets, taking into account taxes, import costs, distribution, insurance, storage conditions and other relevant factors. Public procurement procedures, potential conflicts of interest and the selection of suppliers must be scrutinised. Reasonable savings achieved through transparent procurement and genuine competition can help improve patients’ access to treatment.
Quality is equally important. Medicines must meet safety, effectiveness and quality standards. Monitoring the supply chain, verifying origin, checking storage conditions and combating counterfeit products are essential duties. Cost savings must never come at the expense of patients’ health.
Citizens should receive clear information about prices, appropriate and authorised generic alternatives, and the ways in which they can benefit from reimbursement schemes. Doctors and pharmacists must be able to provide professional advice without inappropriate commercial pressure. Public policy should aim to make essential medicines affordable, particularly for the most vulnerable groups.
In this sector, companies’ economic interests must not take precedence over patient safety and dignity. A state that fails to protect citizens when they need medicines and treatment is not fully fulfilling its social mission.
3. The Fuel Mafia and the Chain of Prices
Tirana, Albania’s capital, has a particularly serious traffic problem, with numerous traffic lights and frequent congestion. The time vehicles spend waiting at traffic lights and in queues contributes to fuel consumption, wasted working hours, air pollution and additional transport costs.
The fuel market is another sector with a direct impact on Albania’s economy. The price of diesel and petrol affects public and private transport, agriculture, construction, industry, food distribution and the cost of almost every product that moves from producer to consumer.
When fuel prices rise, transport and production costs rise as well. These costs can translate into higher prices for food, construction materials and services. Farmers pay more to cultivate their land and transport their produce; traders pay more to receive supplies; citizens pay more to travel and meet everyday needs. In this way, higher fuel costs can spread throughout the economy.
Traffic congestion creates an additional economic burden. Vehicles that remain stationary or move slowly in queues may continue consuming fuel, depending on the vehicle, engine, traffic conditions and duration of the delay. Over an entire year, the combined cost can be significant.
To calculate the actual annual cost of fuel wasted because of traffic lights and congestion in Tirana, a proper study would need to measure the number of vehicles, average waiting times, fuel consumption while idling, the frequency of journeys and the duration of congestion. It would also need to distinguish between fuel consumed while stationary and fuel consumed while moving slowly.
The figure of €20 million per year in fuel-related gains or costs should therefore be treated as an estimate requiring verification, not as an established fact. A transparent calculation would help determine the actual economic burden and identify the most effective solutions.
Reducing unnecessary waiting times through better traffic-light coordination, intelligent traffic management, improved road planning and more efficient public transport could reduce wasted fuel, lower emissions and save time for residents and businesses. Traffic management is therefore not merely a transport issue; it is also an economic and environmental issue.
At the same time, it is essential to understand how the final price of fuel is formed: the purchase price on international markets, transport, storage, taxes, duties, distribution costs and commercial margins. Transparency in these elements would allow authorities and the public to assess whether changes in international prices are reasonably reflected in the domestic market.
The Competition Authority should investigate concrete indications of prohibited agreements, price coordination, market allocation, abuse of a dominant position or artificial barriers to new operators. Any conclusion must be supported by economic and documentary evidence. A high price alone does not automatically prove the existence of a cartel, but it may justify gathering data and examining how the market operates.
All operators must be able to compete on equal terms. Quality standards must be applied consistently, and consumers must not be misled about the quality, quantity or price of the product. Regular inspection of fuel pumps, supply documentation and technical standards is part of protecting the public interest.
At the same time, Albania must consider a long-term energy strategy: improving efficiency, developing public transport, supporting cleaner technologies and using renewable energy wherever economically and technically appropriate. The goal is not to deny the importance of fuel in today’s economy, but to gradually reduce the dependence that leaves the country vulnerable to price shocks.
4. When Market Weaknesses Become a National Problem
The banking mafia, the pharmaceutical mafia and the fuel mafia are strong political terms used to describe the perception that certain strategic markets may operate to the detriment of the public interest. But the solution is not to replace evidence with rhetoric. The solution is to build a system of oversight in which nobody can use economic power, political connections or a lack of transparency to harm citizens.
Albania’s economy needs institutions that operate independently and deliver measurable results. The Bank of Albania must exercise banking supervision within its mandate. The Competition Authority must investigate practices that restrict competition. Institutions responsible for medicines and healthcare must protect quality, safety and patients’ access to treatment. Tax, customs, financial-investigation and judicial authorities must cooperate when there are well-founded suspicions of violations.
Inspections must not be used to target a company simply because it is large, nor to favour another company for political reasons. The same rules must apply to everyone. Decisions must be reasoned, reviewable and open to legal appeal. The public should be able to learn about the results of investigations to the extent permitted by law, without compromising legitimate commercial secrets or personal data.
Corruption and conflicts of interest undermine public trust in institutions. Officials who make decisions on licences, procurement, public contracts or market policies must therefore be subject to clear rules on disclosure and the avoidance of conflicts of interest. Whistleblowers must have legal protection, while judicial authorities must have the capacity and independence to investigate every case without discrimination.
Financial education for citizens must also be strengthened. Consumers need to understand loan terms, the total cost of banking services, their rights when purchasing a product and how to report a violation. Businesses should have secure channels for reporting anticompetitive practices. New technologies, including artificial intelligence and transaction-network analysis, can help identify anomalies, but only when used lawfully and under appropriate oversight.
Albania should cooperate with European and international partners to combat money laundering, financial fraud and cross-border organised crime. However, international cooperation must go hand in hand with stronger domestic institutions, because no foreign partner can replace the responsibility of the Albanian state.
5. The Legal Framework and Institutional Accountability
Efforts to address potential abuses in these sectors must be based on Albania’s legal framework and its equal enforcement.
Law No. 9662 of 18 December 2006, “On Banks in the Republic of Albania,” as amended, provides one of the legal foundations for the operation and supervision of the banking sector. Its implementation must be accompanied by transparency, depositor protection and compliance with risk-management requirements.
Law No. 105/2014, “On Medicines and Pharmaceutical Services,” as amended, regulates important aspects of the pharmaceutical market and related services. It must be implemented in a way that places the quality, safety and oversight of medicines at the centre of public policy.
Law No. 9121 of 28 July 2003, “On the Protection of Competition,” as amended, is a key instrument for preventing and penalising prohibited agreements, abuse of a dominant position and other practices that undermine competition.
Law No. 8450 of 24 February 1999, “On the Processing, Transportation and Trading of Oil, Gas and Their By-products,” as amended, forms part of the legal framework governing this sector.
In addition to these laws, rules on public procurement, consumer protection, the prevention of money laundering, conflicts of interest, taxation and criminal procedure must be applied according to the relevant field and the powers of each institution. Before any new reform or intervention is introduced, the specific provisions must be checked against the versions currently in force.
However, the law is not enough if it remains only on paper. Institutions must publish understandable reports, measure the results of inspections and explain the measures they have taken. Where violations are identified, there must be concrete accountability. Where violations are not proven, sufficient transparency is needed to prevent unjustified accusations. This is how public trust is built—not through silence, propaganda or allegations unsupported by evidence.
6. The Strategic Solution: Three State Banks for the Development of Albania’s Economy
Alongside market oversight, Albania should seriously consider creating financial instruments that support domestic production. One proposal is to establish three specialised state banks: the State Trade Bank, the State Agricultural Bank and the State Bank for Domestic Business.
This should not be a rushed initiative or a means of creating new political institutions. It must be based on an independent feasibility study, a cost-benefit analysis, an assessment of fiscal risks, public consultation and a clear legal framework. If the study demonstrates that the model is sustainable, these banks could become instruments for financing sectors of strategic importance to the country.
The State Trade Bank would aim to support lawful trade, small and medium-sized enterprises, exporters and businesses requiring working capital. It could offer financial products tailored to payment cycles, storage, logistics, equipment purchases and business expansion. Its purpose would be to improve access to finance for viable businesses and strengthen their ability to compete in domestic and international markets.
The State Agricultural Bank would have a specific mission: to support farmers, livestock producers, voluntary economic cooperation, agro-processing and the food supply chain. Agriculture requires financing adapted to seasons, production schedules and income cycles. A specialised bank could consider long-term loans for mechanisation, irrigation systems, greenhouses, orchards, livestock farms, warehouses, cold-storage facilities, collection centres and processing lines.
Without suitable financing, farmers are often forced to sell their produce immediately after harvest, when prices may be low, or lose part of their output because of inadequate storage and processing facilities. Financial support linked to viable projects could help reduce losses, increase the value of Albanian products and open new markets.
The bank should coordinate with public policies on irrigation, reservoirs, rural infrastructure, orchards, food processing and export promotion. Nevertheless, lending must be based on clear business plans and repayment capacity, not political promises or personal connections.
The State Bank for Domestic Business would aim to finance manufacturing enterprises, light industry, the processing of raw materials, technology, innovation, crafts, value-added services and businesses that create sustainable employment in Albania. It could provide loans for equipment, technological modernisation, capacity expansion and investments that increase productivity.
Albania cannot rely indefinitely on imports, construction and consumption while domestic production remains weak. The country needs a mixed economy in which private enterprise has the freedom to develop, while the state provides infrastructure, rules and financial instruments that encourage productive investment. Production, exports and employment must be at the centre of the economic strategy.
The three proposed banks should neither replace private banks nor create a state monopoly on lending. They should address financing gaps identified through market research and operate according to fair rules. If a sector requires special support, this should be determined on the basis of economic analysis and the public interest.
7. How State Banks Should Operate to Avoid Becoming Political Instruments
Economic history shows that a public bank can support development, but it can also cause substantial losses if used for political favours, indiscriminate lending or patronage-based appointments. The establishment of state banks must therefore be accompanied by strong institutional safeguards.
First, executives should be selected on the basis of professional competence and banking experience, through transparent procedures and published criteria. Appointments must not be used as political rewards.
Second, lending decisions must be based on risk analysis, the client’s ability to repay, the viability of the project and its expected economic impact. No minister, member of parliament or public official should have the right to order a loan for a particular person or company outside established procedures.
Third, the banks must be subject to independent audits, appropriate supervision, periodic reporting and publication of key performance indicators. Aggregated data on lending by sector, portfolio quality, operating costs and financial results should be made public while respecting banking secrecy and personal data.
Fourth, strong rules must govern conflicts of interest, beneficial ownership, the prevention of money laundering and the identification of the true beneficiaries of financing. Suspicious loans and losses must not be concealed from the public; they must be reported and dealt with under the applicable rules.
Fifth, every subsidy or state-guarantee scheme must have clear limits, published eligibility criteria, calculated fiscal costs and an evaluation of results. The state must not promise unlimited credit to every business. It must create fair opportunities for viable projects while protecting taxpayers’ money.
Finally, before establishing three new banks, Albania should assess whether these needs could be met more effectively through a development bank, an existing institution, credit-guarantee funds or specialised programmes. The objective is not to increase bureaucracy, but to create an effective instrument that delivers measurable results.
8. A National Programme for Production, Employment and Economic Justice
Addressing high costs and potential abusive practices cannot be limited to the three sectors discussed above. It must form part of a national programme for the development of Albania’s economy.
This programme should include support for small and medium-sized enterprises, expansion of agricultural production, development of the processing industry, technological modernisation, export promotion and improvement of professional skills. Investment is needed in rural infrastructure, irrigation systems, the collection and storage of agricultural products, and facilities that turn raw materials into higher-value goods.
The state should use public procurement transparently and lawfully, creating fair opportunities for domestic businesses where permitted by the legal framework and where quality, price and competition requirements are met. Public policies must not favour selected companies; they should help create an environment in which responsible businesses can grow.
Access to information must also improve. Data on banking fees, medicine prices, fuel-price structures, public procurement and inspection results should be made as understandable as possible to citizens. Transparency is one of the strongest tools against corruption, abuse and misinformation.
At the same time, the state must protect free competition. Sustainable development is impossible if small businesses are obstructed by unnecessary barriers, licences and contracts are allocated according to personal connections, or the law is applied differently to different operators. Rules must be clear and equal for everyone, while public intervention must be justified, proportionate and subject to review.
Conclusion: The Economy Must Serve the Citizen
Albania needs a clear change in its economic priorities. Citizens should not feel defenceless in the face of fees they do not understand, prices they cannot afford or markets in which they have no real alternatives. Farmers must have opportunities to finance their production, domestic businesses must have access to capital, and patients must be able to obtain quality medicines at affordable prices.
The banking mafia, the pharmaceutical mafia and the fuel mafia—if these terms are used to describe suspected abuses in these sectors—cannot be confronted through political statements alone. They must be addressed through evidence, independent investigations, genuine competition, transparency and equal enforcement of the law. Every violation must be investigated, and every responsible party must be held accountable under the law, regardless of economic power or political connections.
At the same time, Albania must build an economic model that goes beyond collecting taxes and managing day-to-day crises. The country needs production, modernised agriculture, industry, exports, technology, employment and institutions that serve its citizens.
The proposal to establish the State Trade Bank, the State Agricultural Bank and the State Bank for Domestic Business deserves serious consideration, based on an independent study and strong safeguards against politicisation. If the model proves economically sustainable and beneficial to the public, it could serve as an instrument for financing production and national development.
The Albanian state must not become the property of banks, the servant of monopolies or an instrument of narrow interests. It must guarantee competition, protect citizens and support responsible enterprise. Money, institutions and public policies must work for the country’s development, not against its interests.
Albania needs economic justice, fair competition and a state that protects its citizens. Without production, there is no development; without transparency, there is no trust; without economic justice, there can be no lasting prosperity.
Flamur Buçpapaj
