THE ALBANIAN INNOVATION ECOSYSTEM

THE ALBANIAN INNOVATION ECOSYSTEM: POLICIES, PARTNERSHIPS, AND THE FUTURE OF ENTREPRENEURSHIP

Author
Delina IBRAHIMAJ, University of Tirana (Tirana, Albania)

Abstract
The Albanian innovation ecosystem is undergoing rapid transformation, marked by the emergence of a formalised and increasingly interconnected startup landscape. This paper provides a comprehensive mapping of the ecosystem and analyses the structural dynamics that underpin its growth. Drawing on qualitative analysis and multi-source data, the study explores the interplay between key actors—including startups, corporates, academia, consulting firms, investors, public institutions, and support structures such as incubators and accelerators. Since 2020, Albania has registered over 2,000 startups, with an average annual growth rate of 30%. Government-backed initiatives have played a pivotal role, with approximately €8.5 million disbursed in seed funding through dedicated grant schemes. The paper examines how these players collaborate through strategic linkages and how national policies and programs, such as the Startup Law and innovation support mechanisms—have created a more enabling environment for entrepreneurship. By examining emerging patterns of cooperation, institutional support, and policy innovation, this study offers new insights into the conditions necessary for scaling early-stage ecosystems. Particular attention is paid to recognition mechanisms, opportunities for regional integration, and the evolving roles of diaspora and academia. The findings contribute to broader discussions on innovation policy in small transitioning economies and highlight Albania's potential as a regional hub for entrepreneurship.