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VIENNA, October 27, 2026—Economic growth in the Western Balkans is expected to accelerate in 2026 and strengthen further in 2027, supported by consumption and investment. The regional economy has shown resilience to shocks and continues to converge with the European Union. To support the creation of better jobs, businesses need more efficient trade-related regulations that help them compete in international markets, according to the new Western Balkans Regular Economic Report, released today.
Average growth in Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia is projected to reach 3.1 percent in 2026, up from 2.6 percent in 2025. It is expected to pick up to 3.4 percent in 2027 and hold at that level in 2028.
- At a time of heightened geopolitical uncertainty and weak growth among key trading partners, the Western Balkans have once again demonstrated economic resilience. But resilience alone is not sufficient to help the region converge toward average European Union incomes or create the quality jobs people need. Jobs come from dynamic private sectors, and the next phase of growth requires efficient, predictable regulation and the removal of trade barriers, not only at the border but also behind it.
