I.

Introduction

Albania (in Albanian, Shqipëri, “Eagle’s Country”), officially Republic of Albania, republic, south-eastern Europe, located in the western part of the Balkan Peninsula; bounded on the north-west and north by Serbia and Montenegro, on the east by the Former Yugoslav Republic of Macedonia (FYROM), on the south-east and south by Greece, and on the west by the Adriatic Sea. Albania, one of the smallest countries of Europe, has a maximum length from north to south of about 345 km (214 mi) and a maximum width of about 145 km (90 mi). Its total area is 28,748 sq km (11,100 sq mi). Tirana is the capital and largest city.

II.

Land and Resources

Albania is predominantly mountainous with peaks averaging between 2,100 and 2,400 m (7,000 to 8,000 ft). Lowlands, which comprise less than one quarter of the land area, are limited to a belt along the Adriatic coast north of Vlorë and to several river valleys extending inland from the coast. The rugged North Albanian Alps form the southern end of the Dinaric Alps and include Albania’s highest peak, Mount Korab (2,751 m/9,026 ft). In the central and southern parts of the country the mountains are interrupted by high plateaux and basins. The coastal lowlands possess rich soils, but in many places the land is marshy or poorly drained.

A.

Rivers and Lakes

Most of Albania’s rivers rise in the mountainous east and flow west to the Adriatic Sea. The largest of these—the Drin, Shkumbi, and Mat—have broad valleys. Albania’s three large lakes straddle its borders: in the north-west, Lake Scutari, and in the east, Lake Ohrid and Lake Prespa.

B.

Climate

The Adriatic coastal region has a typical Mediterranean climate, with mild, wet winters and hot, dry summers. Inland, a more severe continental climate prevails, with marked seasonal temperature extremes. Average annual precipitation ranges from about 1,000 mm (40 in) on the coast to nearly 2,500 mm (100 in) in sections of the northern mountains. Summer precipitation is scant in all parts of the country.

C.

Natural Resources

Albania is well endowed with mineral resources and is especially rich in high-quality chromium ores. Among the other minerals present are oil, copper, nickel, coal (mostly low-quality lignite), iron ore, phosphates, and natural gas.

D.

Plants and Animals

On the coast is found the typical Mediterranean chaparral vegetation of drought-resistant shrubs. Forests cover nearly 40 per cent of Albania’s total land area. Thick forests, however, are generally found only at higher elevations in the mountains; much of the other growth is scrub forests. Some common trees are oak, elm, pine, beech, and birch. Wildlife, found in the more inaccessible mountain regions, includes eagles, wolves, deer, and wild boar.

E.

Environmental Concerns

Although loss of forest cover has plagued Albania in the past, in the 1990s deforestation slowed almost to a halt. Currently, over 38.2 per cent (1995) of the country is forested. Arable and permanent cropland accounts for another 26 per cent (1997) of the country's total area, and much of Albania’s land is used for livestock grazing. The effects of past deforestation, livestock grazing, and flooding have contributed to a rate of soil erosion that exceeds the natural process of new soil production. Only 76,000 hectares (190,000 acres (1997))—just over 1 per cent of Albania's total land area—are designated as protected. Industrial activity has contributed to the pollution of Albanian air and waterways. In April 2002 a UN report warned of the high level of toxins, especially mercury, in the environment. Albania is party to international agreements on biodiversity, climate change, and wetlands.

III.

Population

Albania is one of the most ethnically homogeneous countries in the world; about 98 per cent of its people are Albanian, a group that is believed to be descended from the Illyrians, an Indo-European people who inhabited the area in ancient times. Minority groups include Greeks, Roma (Gypsies), Serbs, and Bulgarians.

The Albanians are divided into two main branches: the Ghegs and the Tosks. The border between the two groups is roughly formed by the River Shkumbi, the Ghegs occupying the area to the north and the Tosks occupying the area to the south. The groups are distinguished by minor differences in physical traits, language, and customs.

A.

Population Characteristics

Albania has a population of 3,639,453 (2009 estimate). Population density is 133 people per sq km (344 per sq mi). In 2009 the country’s annual rate of natural increase was estimated at 0.55 per cent. Before World War II the population was overwhelmingly rural; since the 1950s rapid urbanization has occurred. About 45 per cent of the people were classified as urban as of 2005. Life expectancy in 2009 was 78 years.

B.

Principal Cities

The capital and chief city is Tirana, with a population of 367,000 (2003 estimate). Other major cities, with their populations, are the port and industrial centre of Durrës, 99,546 (2001 estimate), the agricultural marketing centre of Elbasan, 87,797 (2001 estimate), the ancient town of Shkodër, 82,445 (2001 estimate), and the seaport of Vlorë, 77,691 (2001 estimate).

C.

Religion

In 1967 the Albanian government abolished all religious institutions. Previously about 70 per cent of the population was Muslim, 20 per cent Eastern Orthodox, and 10 per cent Roman Catholic. Freedom of worship was officially restored in 1990.

D.

Language

Seven languages are spoken in Albania, all from the Indo-European language family. The official language since 1952 has been Tosk Albanian, which is spoken by the majority of the population. Gheg Albanian, said to be unintelligible with Tosk, is the next most widely spoken language (with 300,000 mother-tongue speakers). Greek, Macedonian and Serbian (Slavic languages), Vlax Romani, and Macedo-Romanian (a Romance language) are also spoken, each by fewer than 2 per cent of the population.

E.

Education

Primary education is free and compulsory for all children between the ages of 7 and 15. In 2004 the number of students enrolled in primary schools was 250,487. Secondary and technical schools had a total of about 206,000 students in the early 1990s, and institutions of higher education had a total enrolment of about 19,000. There are eight institutions with university status. In Tirana there is the University of Tirana (1957), Polytechnic University of Tirana (1957), and Agricultural University of Tirana (1971); in Shkodër, the University of Shkodër-Luigi Gurakugi (1957); in Korçë, the University of Korca Fan S. Noli (1971); in Elbasan, the Aleksandër Xhuvani University; the Eqrem Cabej University of Gjirokastër in Gjirokastër (1971); and the Ismail Qemel Vlora Technological University in Vlorë (1994). In all institutes of higher education there are 53,014 students (2004 estimate).

F.

Culture

During most of the more than 400 years of Ottoman rule, the Albanian language and culture were suppressed. No Albanian-language school was permitted until the 1880s. After the Communist government came to power, Albanian culture was influenced first by Soviet and then by Chinese models. Albania underwent a cultural revolution in the mid-1960s, and many Western influences were eliminated. The government now subsidizes handicrafts and folk dances.

In 1988 Albania had 45 public libraries, the most important of which is the National Library (1922) in Tirana with 1 million volumes. Also in Tirana are the national companies of opera, theatre, and ballet and the principal museums. A main cultural site in Albania is Butrint, on the coast opposite Corfu. This city was founded by the Greeks and bears the remains of five subsequent civilizations.

IV.

Economy

Although a modern industrial base was established by the former Communist regime through a series of five-year plans initiated in 1951, the country remains one of the poorest and least developed in Europe. Virtually all industry is nationalized, and farmland is either collectivized or organized into state farms. Albania’s gross national product was US$6,588 million in 2004 (World Bank and OECD estimate), or US$3,300 per capita. In late 1994 the estimated national budget showed a deficit of US$64.1 million.

A.

Agriculture, Forestry, and Fishing

About one fifth of the country’s land is arable. Major drainage and reclamation projects since the 1950s have added greatly to the total farmland. The major crops (with 2007 estimates of production) include wheat (249,500 tonnes), maize (215,900 tonnes), sugar beet (40,000 tonnes), and potatoes (154,900 tonnes). Grapes, citrus fruits, olives, cotton, and tobacco are also grown. Efforts have been made to improve the poor quality of a livestock population that in 2007 included some 663,400 cattle, 1.83 million sheep, and 150,000 pigs. Albania’s forests are an important natural resource, yielding wood for fuel, timber, and veneers. In 2007 the total annual fish catch from the Mediterranean Sea and inland waters was 7,699 tonnes.

B.

Mining

Mining is an important sector of the Albanian economy; in 2004 the annual output of crude oil was 2.19 million barrels. Other major exploited minerals are copper, nickel, coal, iron ore, and phosphates. Chromite ore is important to the economy, and the estimate of production in 1996 was 143,800 tonnes.

C.

Manufacturing

Since the initiation of the five-year plans under Communism, great emphasis has been placed on the development of the formerly small manufacturing sector. Beginning in the late 1950s, Albania established (first with Soviet and then with Chinese assistance) factories producing chemicals, cement, fertilizers, and machinery. Other new plants include oil refineries, textile mills, and an iron and steel mill at Elbasan. Manufactured products also include asphalt, copper items, cigarettes, beer, and processed foods.

D.

Energy

With its numerous mountain streams, Albania has great potential for developing hydroelectricity. Annual electric power production in 2006 was about 5.5 billion kWh, of which 98.31 per cent was generated by hydroelectric plants.

E.

Currency and Banking

The monetary unit of Albania is the lek of 100 qindarka (95.93 leks equalled US$1; early 2009). The Albanian State Bank, which was organized in 1945, is the sole bank of currency issue; it also aids in regulating the economy. All banking and credit institutions are nationalized, although plans have been discussed that would place the main commercial banks—the National Commercial Bank, the Rural Commercial Bank, and the Savings Bank—in the private sector.

F.

Commerce and Trade

The principal imports are heavy machinery, mineral fuels and lubricants, iron and steel items, and electronic and precision equipment. Exports include crude oil, asphalt, iron ore, chromium ore, copper, vegetables and fruit, tobacco, and wine. In 2007 annual exports earned about US$1,043 million and imports cost about US$4,066 million.

G.

Labour

Most workers belong to the Central Council of Albanian Trade Unions, which until December 1990 was closely allied with the Communist Party. Wages are set by the government. About 1.44 million Albanians were economically active in 2007. About 45 per cent of the wage labour force was estimated to be engaged in agriculture, 22 per cent in industry, and 21 per cent in services in the mid-1990s.

H.

Transport

Albania had no railways before 1948; Tirana and Durrës are now linked by rail with other major industrial centres. In 2007 there was about 423 km (263 mi) of railway, and in 2002 about 18,000 km (11,185 mi) of roads. The only navigable river is the Buenë, in the north-west. The major ports are Durrës, Vlorë, Sarandë, and Shëngjin. Albania’s one major airport (the Mother Teresa International Airport, near Tirana) has flights to cities in several neighbouring countries. The national carrier is Albanian Airlines.

I.

Communications

During the Communist period all communications media in Albania were closely controlled by the government. The government-run broadcasting service is Radio Televizioni Shqiptar, based in Tirana. In 2000 there were about 810,000 radio receivers and 480,000 television sets. In the same year the country had 24 daily newspapers, and one of these, the daily Voice of the People, is the official organ of the Socialist Party of Albania. In recent years there has been a steady growth in the number of independent television and radio stations.

V.

Government

The constitution of 1946 proclaimed Albania a people’s republic. A second constitution, enacted in 1976, was superseded in 1991 by an interim constitution that changed the name of the country to the Republic of Albania. Following a referendum, the country's first post-communist constitution was signed into law by President Rexhep Mejdani in November 1998.

A.

Executive and Legislature

Executive power rests with the president of the republic, who is commander-in-chief of the armed forces. The president, who is indirectly elected by the legislature for a term of five years, appoints the prime minister to head the People’s Assembly. The nation’s first free multi-party legislative elections were held in 1991; voting for a reconstituted parliament of 140 seats (100 directly elected, the remainder chosen by proportional representation) took place in March 1992. There were subsequent elections in 1997, 2001, and 2005.

B.

Political Parties

From the mid-1940s until the end of the 1980s the country’s only political party was the Communist Party, officially known as the Albanian Party of Labour (APL) or Workers’ Party. Opposition parties were legalized in December 1990. In the March 1992 election, the Democratic Party defeated the former Communists, running as the Socialist Party of Albania. After the general election of 2001, seats in the People’s Assembly were held by politicians from the Socialist Party of Albania (PSS), the Democratic Party of Albania (PDS), the Social Democratic Party of Albania (PSD), the Democratic Alliance (PAD), the Albanian Agrarian Party (PNA), and the Union for People’s Rights (PBDN). A group of parties fought the election as Union for Victory (BF): the conservative Democratic Party of Albania (PDS); the nationalist Party of the Albanian National Front (PBKS); the conservative Republican Party of Albania (PRS); the monarchist Movement of Legality Party (PLL); and the Liberal-Democratic Union (BLD). Following the 2005 election the PDS and the PSS became the leading parties with 56 and 42 seats respectively.

C.

Judiciary

The highest judicial body is the Supreme Court, the members of which are elected by the People’s Assembly for terms of four years. Justice is dispensed by district courts, Courts of Appeal, and the Supreme Court. Judges in the district and Appeal Courts are nominated by a Higher Judicial Council, which is presided over by the president of the republic, and those in the Supreme Court are elected by the People’s Assembly. The judicial system is administered by the Ministry of Justice (re-established in 1990), which supervises the organization and functioning of the courts. Reforms were implemented in 1990 and 1993, when the number of capital offences was reduced from 13 to 6, and women were exempted from the death penalty.

D.

Local Government

Albania is divided into 12 prefectures or counties (Berat, Dibër, Durrës, Elbasan, Fier, Gjirokastër, Korcë, Kukës, Lezhë, Shkodër, Tiranë, and Vlorë), which are subdivided into 36 districts (Berat, Bulqizë, Delvinë, Devoll, Dibër, Durrës, Elbasan, Fier, Gjirokastër, Gramsh, Has, Kavajë, Kolonjë, Korcë, Krujë, Kuçovë, Kukës, Kurbin, Lezhë, Librazhd, Lushnjë, Malsi e Madhe, Mallakastër, Mat, Mirditë, Peqin, Permët, Pogradec, Pukë, Sarandë, Shkodër, Skrapar, Tepelenë, Tiranë, Tropojë, Vlorë), and then further into communes and municipalities. Local government is administered by multi-party elected councils.

E.

Health and Welfare

The government provides retirement pensions, free, if limited, medical care, workers’ compensation, paid holidays, and other benefits for workers and their families. Steps have been taken, within current financial constraints, to correct the problem of insufficient medical personnel and facilities.

F.

Defence

In 2006 Albania’s armed forces numbered about 11,020 people, including an army of 6,200; navy of 1,100; and air force of 1,370. Conscription is for a period of up to 15 months. The paramilitary force, including an internal security force of 5,000 and a people’s militia of 3,500, numbered 13,500 in 1995. Albania’s armed forces are currently being reorganized, a process planned to be completed by 2010. In 2006 total military expenditure was US$147 million, or US$41 per capita, which constituted 1.2 per cent of the country’s gross domestic product (GDP).

G.

International Organizations

Albania is a member of the following organizations: the United Nations (UN); Black Sea Economic Cooperation Pact (BSEC); Central European Initiative (CEI); Council of Europe (CE); Organization for Security and Cooperation in Europe (OSCE); the Partnership for Peace (PFP); and the World Trade Organization.

VI.

History

The Albanians are considered descendants of the Illyrians, an Indo-European people who settled the western part of the Balkan Peninsula at, or shortly after, the end of the Bronze Age (c. 1000 bc). The Illyrians established their own states during the 5th and the 3rd centuries bc.

A.

Ancient Times

The Adrians Kingdom, founded in the 3rd century bc, was the most prominent of the ancient states. It extended from the Dalmatian coast to the coastal regions of present-day Albania and reached the peak of its power during King Agron’s reign (250-231 bc). The Adrians Kingdom became an important naval power, preying on Roman shipping and thus endangering the republic’s trade. In 168 bc Rome conquered the entire Illyrian Kingdom and thereafter ruled it for more than five centuries. In the beginning of the Roman occupation, Albania proper became an important centre, connecting Rome with Byzantium through the Via Egnatia.

The Illyrians played an important role in the Roman Empire. Several of the emperors were of Illyrian origin, namely Claudius II, Aurelian, Diocletian, and Probus in the 3rd century ad, Constantine the Great in the 4th century, and Justinian I in the 6th century.

B.

Middle Ages

With the division of the Roman Empire in ad 395, Albania became part of the Eastern Empire. During this period Albanian ports, such as Durrachium (Durrës), became important trading centres.

As the power of the empire declined, the Illyrian provinces were plagued by migrating tribes vying for control of the western parts of the Balkans. The Goths and Huns came in the 4th century, the Bulgars in the 5th century, and during the 6th and 7th centuries large numbers of Slavs began to penetrate Illyrian territories. Faced with the danger of assimilation, the Albanians—who had by this time been converted to Christianity—moved southwards, concentrating mainly in the rugged mountain regions, where they remained nominally under the rule of the East Roman, or Byzantine, Empire.

During the 11th and the 12th centuries Albania was overrun by the Normans, and in 1190, during a period of Byzantine weakness, the Albanian prince Progon established an independent state. This lasted until the middle of the 13th century, after which the country relapsed into disunity. In the 14th century it was conquered by the Serbs.

With the collapse of Stephan Dushan’s Serbian Empire in 1355, Albania fell under the domination of local feudal lords. The Topias and the Dukagjinis ruled in the north, the Muzakas and the Shpatas in the south.

C.

Ottoman Rule

The Ottoman Turks invaded Albania at the end of the 14th century. Under the leadership of George Kastrioti, called Scanderbeg, the Albanians waged a successful 25-year struggle against Turkish occupation. In 1448 and in 1466 Scanderbeg repulsed large Turkish expeditions, but after his death in 1468, Albania became part of the Ottoman Empire. A large number of Albanians migrated to Italy, and the majority of the population converted to Islam. During the nearly five centuries of Turkish occupation, many Albanians rose to high positions in the empire.

The Turks were never able to establish total control over Albania. During the latter part of the 18th century, several native princes rose to prominence. From 1775 to 1796, the Bushatis ruled the Shkodër Duchy, extending their authority over northern and central Albania. From 1790 to 1822, Ali Pasha ruled the duchy of Janina, which extended from Vlorë and Berat to Çamëria and Thessaly.

At the end of the 19th century nationalist sentiments awakened. During the period of the Albanian League (1878-1881), the Albanians waged a heroic struggle to preserve their territorial integrity against encroachments from their neighbours and to win autonomy from Turkey.

D.

Independence

On November 28, 1912, after a series of revolts against Turkey, Albanian patriots led by Ismail Qemal proclaimed the country’s independence. At the London Conference of December 1912, the Allied Powers recognized Albania’s independence. The 1913 frontier demarcation by a special commission appointed by the Allied Powers, however, excluded from Albania more than half its territory, including Kosovo and Çamëria, and about 40 per cent of its people. Today several hundred thousand Albanians live in Greece, about 500,000 live in the Former Yugoslav Republic of Macedonia, and nearly 1.5 million live in the other countries of the former Yugoslavia, primarily in Serbia and Montenegro.

The Allied Powers selected the German prince Wilhelm zu Wied as Albania’s ruler. Prince Wilhelm arrived in March 1914, but because of local opposition and the outbreak of World War I, he was forced to flee the country six months later. During the war, Albania became a battlefield between the Allied and the Central Powers; with the coming of peace, it again faced the prospect of dismemberment by its neighbours. The Paris Peace Conference of 1919, however, rejected claims put forward by Greece, Serbia and Montenegro, and Italy, and Albania was saved from partition.

At the Congress of Lushnje, in January 1920, the Albanians established a provincial government and a council of regency; the following summer Italy recognized Albania’s independence. During the next four years Albania was beset by a fierce struggle for power among competing political factions. By 1925 Ahmet Zogu had achieved pre-eminence, and he ruled the country first as President, but from 1928 to 1939 as Zog I, King of the Albanians—a title that symbolically embraced the Albanian minorities in Greece and Yugoslavia. King Zog introduced broad cultural and economic reforms but entered into a political and military alliance with Fascist Italy. Heavy economic dependence on Italy in turn led to Italian interference in Albania’s domestic and foreign affairs, and on April 7, 1939, Mussolini‘s troops occupied the country. King Victor Emmanuel III of Italy was immediately proclaimed King of Albania.

E.

World War II

Armed resistance to the Italian invaders began soon after the invasion, but the few scattered communist groups existing at the time did not participate in the resistance.

The Albanian Communist Party was founded in November 1941, and Enver Hoxha, a young Western-educated schoolteacher, was elected its General Secretary. The Communists launched their resistance movement against the invaders with the creation of the National Liberation Movement in September 1942 and the organization of the National Liberation Army in July 1943. The Allied command in Italy supplied some material assistance.

In September 1943, preparing the ground for a seizure of power following the anticipated defeat of Germany, the Communists also launched a campaign against the nationalist organizations Balli Kombëtar (National Front) and Legaliteti (Legality Movement). After a bloody civil war, the nationalists were defeated, and by October 1944 the Communists were able to form a provisional government headed by Hoxha. A month later they seized control of the entire country.

F.

People’s Republic

On January 11, 1946, a constituent assembly, elected the previous month, proclaimed the People’s Republic of Albania. In March a new constitution was promulgated and a new government formed, with Hoxha as prime minister. The Communist regime initiated a massive campaign of purges to eliminate real and potential opponents. Wealth in private property was confiscated, all industrial plants and mines were nationalized, and a radical agrarian reform was instituted.

G.

Relations with Neighbours

From 1944 to 1948 Albania’s foreign policy was characterized by tense relations with Greece and the West and a close alliance with Yugoslavia. Plans, in fact, were under way for its absorption into Yugoslavia.

Following the Soviet-Yugoslav break in 1948, however, Albania aligned with the Soviet Union and subsequently received large-scale assistance from the USSR and other socialist countries. In 1949 it was admitted to the Council for Mutual Economic Assistance (COMECON), and in 1955 it became a member of the Warsaw Pact.

In 1954 Hoxha relinquished the premiership to his deputy, Mehmet Shehu, but continued to dominate the country as head of the Albanian Communist Party. Albania’s relations with the Soviet bloc began to deteriorate in the mid- and late 1950s, when Hoxha refused to go along with Moscow’s policies of de-Stalinization, peaceful coexistence with capitalist countries, and rapprochement with Yugoslavia.

H.

Alliance with China

Albania’s views on the most important issues affecting the socialist camp were conservative and similar to those of China, and by late 1960 the government had clearly moved towards an alliance with Beijing. In response, the Soviet Union and its East European allies cut off all assistance to Albania. Finally, in December 1961, the Soviet Union broke diplomatic relations with Albania.

China immediately sent in experts to fill the gap created by the withdrawal of Soviet advisers and provided low interest credits for Albania’s five-year plans. This enabled the country to defy the Soviet Union and to proceed with its economic development.

The Soviet invasion of Czechoslovakia in 1968 caused Albania to reassess its foreign policy in general and its heavy reliance on China in particular. It normalized relations with Greece and Yugoslavia and expanded contacts with many Western and developing world nations.

I.

Holding on to Stalinism

China’s foreign policy reorientation in the early 1970s and the subsequent Sino-American rapprochement caused a cooling off in Albanian-Chinese relations. After several public Albanian condemnations of Chinese foreign policy, Beijing cut off all aid to its former Balkan ally in July 1978. Following the break with China, Hoxha’s regime, which kept Stalinism alive longer than any other European country, adopted a strategy of isolationist economic development, maintaining that reliance on foreign assistance compromises a nation’s political independence. However, the late 1970s and early 1980s brought steady improvement in Albania’s relations with Greece, Western European nations, and less-developed countries; nevertheless, the issue of the ethnic Greek minority in Albania (between 200,000 and 400,000 people) remains sensitive. Contacts with Yugoslavia were strained because of what the Albanian government alleged was mistreatment of some 2 million ethnic Albanians in the southern Serbian province of Kosovo.

J.

Albania in the 1980s and 1990s

In December 1981 the government alleged that Premier Shehu had “committed suicide”; he was later denounced as a foreign agent, and his former supporters were purged. Adil Çarçani was named premier in January 1982, and Ramiz Alia replaced Haxhi Lleshi as president in November. Following Hoxha’s death in April 1985, Alia assumed leadership of the Communist Party. Albania responded to the wave of democratization that swept across Eastern Europe at the end of the 1980s by cautiously easing restrictions on religion and foreign travel, legalizing opposition political parties, and broadening contacts with the West; diplomatic relations with the United States were resumed in March 1991 after a 51-year break. After winning Albania’s first free multi-party parliamentary elections, the Communists enacted a new interim charter creating the post of President of the Republic, to which Alia was then elected by the People’s Assembly. The Communist Party, which in June changed its name to the Socialist Party of Albania, clung to power throughout 1991 but was defeated in parliamentary elections in March 1992. In April Alia resigned, and parliament elected Sali Berisha as Albania’s first non-Communist president since World War II. A coalition government was formed, with Aleksander Meksi as prime minister. In May 1992 Albania signed a ten-year cooperation agreement with the European Community (now the EU), and in June agreed to establish a Black Sea economic zone with Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Turkey, and Ukraine. The Albanian Communist Party was outlawed in July, and the former president Ramiz Alia and 18 former Communist officials were detained in September. Albania continued to be affected by instability in the former Yugoslavia, in 1993, when ethnic Albanians experienced difficulties in Kosovo, Macedonia, and Greece. Fatos Nano was charged in July with corruption during his term as prime minister in 1991, and corruption allegations dominated Albanian politics. Nano was sentenced to 12 years’ imprisonment for misusing government funds and abuse of power and former president Ramiz Alia was imprisoned for nine years for abuse of power.

The economy appeared to show signs of recovery in 1993, after two years of decline. It was reported that Albanian migrant workers remitted about US$500 million annually. Albania joined NATO’s Partnership for Peace programme in April 1994. In March 1995 a visit by the Greek foreign minister indicated an improvement in relations between the two countries. A law was approved in June that recognized the rights of ethnic minorities, and in July the Court of Appeal ordered the release of former president Ramiz Alia. The Greek president visited the country in March 1996, confirming the improvement in relations. General elections held in two rounds in May and June returned the ruling Democratic Party of Albania to power, after opposition parties had boycotted fresh elections held in disputed constituencies, and Alexander Meksi was re-appointed prime minister in July.

The anger of the majority of the population, who had lost their investments in pyramid selling schemes, erupted into widespread civil unrest in early 1997, and resulted in a serious threat to the stability of the country. In the prosperous south of the country, where losses were larger and more widespread, protest escalated and by early March weapons were seized from the army and police and citizens took control of many cities. A state of emergency was declared and the president demanded the resignation of Prime Minister Meksi. President Berisha was elected for a second five-year term by the People’s Assembly, and in late March was forced to concede to demands for a transitional government and early national elections in June. The threat to the stability of the region was considered serious and in late March the EU agreed to provide US$2.3 million in aid and the UN Security Council reluctantly agreed that a small multinational force should operate for three months, to safeguard the distribution of the humanitarian aid. The multinational force comprising troops from Italy and seven other European nations were deployed in Operation Alba in April. Legislation was passed in May to regulate pyramid investment schemes. President Berisha announced his resignation in late July, and Fatos Nano was invited to form a government by President Mejdani. Operation Alba ended in August, with most of the troops withdrawing, leaving a small number to assist in reorganizing the army and police force.

In response to a new wave of violence and unrest that broke out in January 1998, the ruling Socialist Party of Albania (PSS) placed blame for much of the unrest on the Democratic Party of Albania (PDS) and its leader, the former President Berisha. A Cabinet reshuffle in April by Prime Minister Nano was the subject of dispute with President Mejdani, who initially agreed to only two of the nine ministerial changes. Following the fatal shooting of a popular PDS legislator and close associate of Berisha, and subsequent rioting in mid-September, Prime Minister Nano resigned in late September. President Mejdani immediately invited Pandeli Majko, the general-secretary of the Socialist Party of Albania (PSS), to form a government. In early October Majko, who benefited from having no associations with the former communists, was sworn in, to become, at the age of 30, Europe's youngest prime minister. President Mejdani signed the country's first post-communist constitution in late November, following approval by a referendum.

Many ethnic Albanians in the neighbouring Serbian province of Kosovo were subjected to increasing violence from Serbian irregulars, and special police forces in early 1999. Following the failure in February of peace talks in France, brokered by US Secretary of State Madeleine Albright, the NATO alliance initiated its threatened air strikes against the Federal Republic of Yugoslavia (FRY), in late March. The NATO action was followed by further allegations of ethnic cleansing, terror, and genocide being made against the Serbian forces in Kosovo. In late March refugees began crossing the border from Kosovo into Albania. In April international aid was announced and NATO began the deployment of an (initially) 8,000-strong Albania Force (A-For) to help Albania cope with its growing refugee crisis and maintain social stability. The refugee flood slowed down in May, peaking at a total of 444,600. After the FRY's decision to pull its troops out of Kosovo, the border between Albania and Kosovo was reopened on June 15 and the refugees began to return home.

On October 27, 1999, the ruling Socialist Party of Albania endorsed 30-year-old Ilir Meta as successor to Prime Minister Majko, who had resigned one day earlier after losing the party leadership vote. Meta, an economist, vowed to continue the policies of the Majko government, in particular promoting economic growth and pressing for Albania's membership of the EU and NATO. Meta was seen as a compromise candidate, acceptable both to the party's old guard and to Majko, who is part of the party's new generation of political reformers.

K.

New Millennium Politics

Albania was approved as a member of the World Trade Organization in July 2000 after five years of negotiation, and in the local elections that autumn, the Socialist Party of Albania (PSS) won most seats, ending the domination of local councils by the opposition Democratic Party. In January 2001 Albania and the FRY re-established diplomatic relations, after they had been broken off during the Kosovo crisis in 1999.

Elections to the People’s Assembly were held in June 2001, in which the ruling PSS won 73 seats against the opposition Democratic Party, which won 52 seats. The remainder were won by a variety of other parties. Meta was re-appointed as prime minister shortly afterwards but experienced in-fighting with his parliamentary colleagues and resigned the following January. He was replaced by the former prime minister, Pandeli Majko, on February 7, 2002. In July, Alfred Spiro Moisiu, a former general and defence minister, was elected president with the support of both the PSS and the Democratic Party. Fatos Nano became prime minister for the fourth time in July, the same month as the return of the former royal family, the Zogs, after exile since the 1930s. Former Queen Geraldine, widow of ex-King Zog, died in October 2002.

Albania’s political goal in the early years of the new millennium was to sign an association accord with the EU; however, in early 2004 the EU insisted that further progress with economic and political reform was required to move the process further forward. In February 2004 the opposition staged demonstrations demanding Nano’s resignation and protesting against alleged government corruption and its perceived failure to improve living standards.

A general election was held in July 2005. The Democratic Party won 56 of the 140 seats, the Socialist Party of Albania 42, the Republican Party 11, the Social Democrat Party 7, and the Socialist Movement for Integration 5. After two months of wrangling and recounts President Moisiu asked Sali Berisha of the Democratic Party to form a new government. In 2006 a Stabilization and Association Agreement was finally signed with the EU following the strengthening of democratic institutions in the country. However, targets were also set for further reform of economic institutions in return for financial assistance from the EU. It is expected that Albania will receive an invitation to join the EU in the next wave of accession countries. In July 2007 the presidential election was won by Bamir Topi, who replaced Moisiu.