FLASH NEWS
Poverty in Albania's big cities double the EU average
2025-09-10 14:20:25 / EKONOMI&SOCIALE
The at-risk-of-poverty rate in urban areas, the large cities of Tirana, Durrës, Elbasan and Fier, is about twice as high as the average in EU countries.
In Albania, 41.8% of the urban population is at risk of poverty (income below 60% of the national average), while in the EU this rate fluctuates around 21%, according to data from the Eurostat database.
Data shows that the Czech Republic has the lowest level of poverty in urban areas in Europe, followed by Slovakia and Poland with 11 to 12%. On the other hand, Albania, Belgium, Spain and Italy have the highest poverty levels in large cities.
The main reasons for urban poverty in Albania are related to low incomes and high informality. Wages in urban sectors are still much lower than European standards and many workers in cities work without contracts and insurance, leaving them outside social protection and pension schemes.
The high poverty in urban areas of our country also stems from the high cost of living in cities. Rent, energy, water and basic services are more expensive in cities, but incomes are not in direct proportion to these costs. The lack of social housing makes living more difficult for low-income families.
While infrastructure is more developed in cities, the quality of social, educational, and health services remains inconsistent and uneven.
Internal migration and uncontrolled urbanization have also had an impact. Cities such as Tirana, Durrës, and Elbasan have experienced continuous internal migration from rural areas. These developments have created suburban areas with informal housing and a lack of access to public services, increasing the percentage of the population at risk of poverty.
On the other hand, effective social protection policies are lacking. The economic assistance scheme is very limited and often fails to target the most needy groups. The system of taxes and social benefits has no real effect on the needy, unlike in EU countries.
Many EU countries have alleviated urban poverty by building public housing for low-income families. Rental subsidy schemes are in place for young people, couples and families with children.
Policies such as strengthening vocational education and training in cities to prepare young people for the urban labor market have an impact on poverty alleviation. Increasing access to nurseries and kindergartens, which particularly help women in employment, is another tool used by the EU.
Examples from EU countries show that expanding the economic aid and social assistance scheme with direct payments to families living below the urban poverty line is an effective tool.
Formalizing the labor market to ensure that urban workers have insurance and regular contracts is another tool that has worked in the EU to reduce urban poverty./ B.Hoxha, Monitor
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