Albania declared its independence from the Ottoman Empire in 1912, but was conquered by Italy in 1939. Communist partisans took over the country in 1944. Albania allied itself first with the USSR (until 1960), and then with China (to 1978). In the early 1990s, Albania ended 46 years of xenophobic Communist rule and established a multiparty democracy. The transition has proven challenging as successive governments have tried to deal with high unemployment, widespread corruption, a dilapidated physical infrastructure, powerful organized crime networks, and combative political opponents. Albania has made progress in its democratic development since first holding multiparty elections in 1991, but deficiencies remain. International observers judged elections to be largely free and fair since the restoration of political stability following the collapse of pyramid schemes in 1997; however, there have been claims of electoral fraud in every one of Albania's post-Communist elections. The 2009 general elections resulted in a coalition government, the first such in the country's history. Albania joined NATO in April 2009 and is a potential candidate for EU accession. Although Albania's economy continues to grow, the country is still one of the poorest in Europe, hampered by a large informal economy and an inadequate energy and transportation infrastructure.

Southeastern Europe, bordering the Adriatic Sea and Ionian Sea, between Greece in the south and Montenegro and Kosovo to the north

slightly smaller than Maryland

mild temperate; cool, cloudy, wet winters; hot, clear, dry summers; interior is cooler and wetter

mostly mountains and hills; small plains along coast

petroleum, natural gas, coal, bauxite, chromite, copper, iron ore, nickel, salt, timber, hydropower

destructive earthquakes; tsunamis occur along southwestern coast; floods; drought

deforestation; soil erosion; water pollution from industrial and domestic effluents

strategic location along Strait of Otranto (links Adriatic Sea to Ionian Sea and Mediterranean Sea)

Albanian 95%, Greek 3%, other 2% (Vlach, Roma (Gypsy), Serb, Macedonian, Bulgarian) (1989 est.)

Albanian (official - derived from Tosk dialect), Greek, Vlach, Romani, Slavic dialects

Muslim 70%, Albanian Orthodox 20%, Roman Catholic 10%

3,002,859 (July 2012 est.)

12.38 births/1,000 population (2012 est.)

6.25 deaths/1,000 population (July 2012 est.)

-3.33 migrant(s)/1,000 population (2012 est.)

TIRANA (capital) 433,000 (2009)

27 deaths/100,000 live births (2010)

1.48 children born/woman (2012 est.)

1.146 physicians/1,000 population (2007)

2.92 beds/1,000 population (2007)

urban: 98% of population

rural: 98% of population

total: 98% of population

urban: 2% of population

rural: 2% of population

total: 2% of population

parliamentary democracy

12 counties (qarqe, singular - qark); Berat, Diber, Durres, Elbasan, Fier, Gjirokaster, Korce, Kukes, Lezhe, Shkoder, Tirane, Vlore

28 November 1912 (from the Ottoman Empire)

Independence Day, 28 November (1912) also known as Flag Day

approved by parliament 21 October 1998; adopted by popular referendum 22 November 1998; promulgated 28 November 1998

civil law system except in the northern rural areas where customary law known as the "Code of Leke" prevails

has not submitted an ICJ jurisdiction declaration; accepts ICCt jurisdiction

18 years of age; universal

unicameral Assembly or Kuvendi (140 deputies; 100 deputies elected directly in single member electoral zones with an approximate number of voters; 40 deputies elected from multi-name lists of parties or party coalitions according to their respective order; elected for a 4-year term)

Constitutional Court consists of 9 members appointed by the president with the consent of the Assembly who serve 9-year terms (chairman is elected by the People's Assembly for a four-year term); the High Court members appointed by the president with the consent of the Assembly for a 9-year term; note - there are also courts of appeal and courts of first instance

Democratic Party or PD [Sali BERISHA]; New Democracy Party or PDR [Genc POLLO]; New Democratic Spirit or FRD [Bamir TOPI]; Party for Justice and Integration or PDI [Shpetim IDRIZ]; Republican Party or PR [Fatmir MEDIU]; Social Democracy Party or PDS [Paskel MILO]; Social Democratic Party or PSD [Skender GJINUSHI]; Socialist Movement for Integration or LSI [Ilir META]; Socialist Party or PS [Edi RAMA]; Unity for Human Rights Party or PBDNJ [Vangjel DULE]

Red and Black Alliance [Kreshnik SPAHIU]; Front for Albanian National Unification or FBKSH [Gafur ADILI]; Mjaft Movement [Elton KACIDHJA]; Omonia [Vasil BOLLANO]; Union of Independent Trade Unions of Albania or BSPSH [Gezim KALAJA]

BSEC, CD, CE, CEI, EAPC, EBRD, EITI (candidate country), FAO, IAEA, IBRD, ICAO, ICC (national committees), ICRM, IDA, IDB, IFAD, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM, IPU, ISO (correspondent), ITU, ITUC (NGOs), MIGA, NATO, OAS (observer), OIC, OIF, OPCW, OSCE, PCA, SELEC, UN, UNCTAD, UNESCO, UNIDO, UNWTO, UPU, WCO, WFTU (NGOs), WHO, WIPO, WMO, WTO

red with a black two-headed eagle in the center; the design is claimed to be that of 15th-century hero George Castriota SKANDERBEG, who led a successful uprising against the Turks that resulted in a short-lived independence for some Albanian regions (1443-78); an unsubstantiated explanation for the eagle symbol is the tradition that Albanians see themselves as descendants of the eagle; they refer to themselves as "Shkypetars," which translates as "sons of the eagle"

Albania, a formerly closed, centrally-planned state, is making the difficult transition to a more modern open-market economy. Macroeconomic growth averaged around 6% between 2004-08, but declined to about 3% in 2009-11, and 0.5% in 2012. Inflation is low and stable. The government has taken measures to curb violent crime, and recently adopted a fiscal reform package aimed at reducing the large gray economy and attracting foreign investment. Remittances, a significant catalyst for economic growth declined from 12-15% of GDP before the 2008 financial crisis to 8% of GDP in 2010, mostly from Albanians residing in Greece and Italy. The agricultural sector, which accounts for almost half of employment but only about one-fifth of GDP, is limited primarily to small family operations and subsistence farming because of lack of modern equipment, unclear property rights, and the prevalence of small, inefficient plots of land. Energy shortages because of a reliance on hydropower - 98% of the electrical power produced in Albania - and antiquated and inadequate infrastructure contribute to Albania's poor business environment and lack of success in attracting new foreign investment needed to expand the country's export base. FDI is among the lowest in the region, but the government has embarked on an ambitious program to improve the business climate through fiscal and legislative reforms. The completion of a new thermal power plant near Vlore has helped diversify generation capacity, and plans to upgrade transmission lines between Albania and Montenegro and Kosovo would help relieve the energy shortages. Also, with help from EU funds, the government is taking steps to improve the poor national road and rail network, a long-standing barrier to sustained economic growth. The country will continue to face challenges from increasing public debt, having slightly exceeded its former statutory limit of 60% of GDP in 2012. Strong trade, remittance, and banking sector ties with Greece and Italy make Albania vulnerable to spillover effects of the global financial crisis.

$25.86 billion (2012 est.)

$25.73 billion (2011 est.)

$24.98 billion (2010 est.)

Albania has an informal, and unreported, sector that may be as large as 50% of official GDP

$12.39 billion (2012 est.)

1.071 million (2011 est.)

25.8% of GDP (2012 est.)

26.3% of GDP (2012 est.)

-3.3% of GDP (2012 est.)

60.6% of GDP (2012 est.)

58.9% of GDP (2011 est.)

5% (31 December 2010 est.)

5.25% (31 December 2009 est.)

13.2% (31 December 2012 est.)

12.43% (31 December 2011 est.)

$2.677 billion (31 December 2012 est.)

$2.575 billion (31 December 2011 est.)

$9.951 billion (31 December 2011 est.)

$9.426 billion (31 December 2010 est.)

$8.587 billion (31 December 2012 est.)

$8.408 billion (31 December 2011 est.)

wheat, corn, potatoes, vegetables, fruits, sugar beets, grapes; meat, dairy products; sheep

-$1.45 billion (2012 est.)

-$1.695 billion (2011 est.)

$2.121 billion (2012 est.)

$1.954 billion (2011 est.)

textiles and footwear; asphalt, metals and metallic ores, crude oil; vegetables, fruits, tobacco

Italy 45.3%, China 7.8%, Turkey 6.3%, Greece 5.2%, Spain 5.1%, India 4.6% (2011)

$5.219 billion (2012 est.)

$5.076 billion (2011 est.)

machinery and equipment, foodstuffs, textiles, chemicals

Italy 33%, Greece 12.2%, China 5.9%, Turkey 5.6%, Germany 4.3% (2011)

$2.35 billion (31 December 2012 est.)

$2.473 billion (31 December 2011 est.)

$5.281 billion (31 December 2012 est.)

$5.188 billion (31 December 2011 est.)

leke (ALL) per US dollar -

5.209 billion kWh (2009 est.)

4.521 billion kWh (2009 est.)

1.906 billion kWh (2010 est.)

1.005 billion kWh (2010 est.)

1.61 million kW (2009 est.)

9.9% of total installed capacity (2009 est.)

0% of total installed capacity (2009 est.)

90.1% of total installed capacity (2009 est.)

0% of total installed capacity (2009 est.)

15,520 bbl/day (2011 est.)

6,920 bbl/day (2009 est.)

0 bbl/day (2009 est.)

199.1 million bbl (1 January 2012 est.)

6,377 bbl/day (2008 est.)

38,390 bbl/day (2011 est.)

915 bbl/day (2008 est.)

24,610 bbl/day (2008 est.)

30 million cu m (2010 est.)

849.5 million cu m (1 January 2012 est.)

4.893 million Mt (2010 est.)

3 public TV networks, one of which transmits by satellite to Albanian-language communities in neighboring countries; more than 60 private TV stations; many viewers can pick up Italian and Greek TV broadcasts via terrestrial reception; cable TV service is available; 2 public radio networks and roughly 25 private radio stations; several international broadcasters are available (2010)

gas 339 km; oil 207 km (2010)

41 km (on the Bojana River) (2011)

Durres, Sarande, Shengjin, Vlore

Land Forces Command, Air Forces Command, Training and Doctrine Command (2012)

19 years of age (2004)

1.49% of GDP (2005 est.)

increasingly active transshipment point for Southwest Asian opiates, hashish, and cannabis transiting the Balkan route and - to a lesser extent - cocaine from South America destined for Western Europe; limited opium and expanding cannabis production; ethnic Albanian narcotrafficking organizations active and expanding in Europe; vulnerable to money laundering associated with regional trafficking in narcotics, arms, contraband, and illegal aliens