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Albanians spend 3 times more than Europeans on food

2026-11-13 17:05:23Biznes SHKRUAR NGA REDAKSIA VOX

Albanians spend 3 times more than Europeans on food

According to psychologist Abraham Maslow's hierarchy of needs, people first strive to secure basic survival needs, such as food and shelter. Only after these needs are met does more space become available for safety, social relationships, esteem, and personal development.

The way families spend their money also follows this logic to a large extent. When income is limited, most of the budget is spent on food and other essential needs. As well-being increases, the weight of these expenses decreases and families have more opportunities to spend on entertainment, culture, travel and improving the quality of life.

The difference between Albania and the European Union in the expenditure structure reflects two different levels of well-being. Although Albania is accelerating its efforts to join the European Union, the structure of household consumption remains far from the European one. While food takes up a much larger share of Albanians' budgets, European families have more room for other expenses.

In 2025, Albanian families spent 39.8% of their budget on food and non-alcoholic beverages, while in the EU this category accounted for an average of 13.2% of household consumption, according to INSTAT and Eurostat data.

In economics, this relationship is explained by Engel's law, according to which, as income increases, the weight of food in the budget decreases, even when the amount spent on it increases. In Albania, this is not happening, as although we may receive more income, we still remain poor.

Europeans spend almost three times more on entertainment and culture

One of the strongest contrasts is in leisure spending. In Albania, entertainment and culture account for only 2.8% of the household budget, while in the European Union, the corresponding category, which also includes sports, reaches 7.7%. Europeans reserve proportionally about 2.8 times more for these activities.

There are also significant differences in transportation. Albanian households spend 7.2% of their budget on this category, compared to 12.5% ​​in the EU. The higher share in Europe is related to a broader consumption structure, which includes the purchase and use of vehicles, public transportation, and other mobility services.

Restaurants and accommodation also account for a larger share of European spending, at 9.5% of the total, compared to 7.5% in Albania. These expenditures are related not only to daily consumption outside the home, but also to travel and vacations.

Meanwhile, for housing, water, electricity and fuels, the weight in the EU reaches 23.8%, compared to 9.7% in Albania. However, the comparison of this category requires caution, as Eurostat also includes imputed rent for owned dwellings, while the Albanian survey records the rent paid.

Where Albanians spend proportionally more than Europeans

Albanian families spend 5% of their budget on clothing and footwear, compared to 4.1% in the EU. Alcoholic beverages and tobacco also account for a higher share in Albania, at 4.3%, compared to 3.6% in European consumption, where this category also includes narcotics.

For furniture, household appliances and home maintenance, Albanians spend 6.6% of their budget, while Europeans spend 4.8%.

Another interesting difference is related to education. In Albania, spending on this category accounts for 3.3% of household consumption, compared to only 0.9% in the EU. This comparison is also affected by the way education is financed, as public services provided free of charge are not recorded as direct household spending.

For health, the ratio is the opposite. In the EU, this category accounts for 4.5% of consumption, while in Albania it accounts for 3.4%. Here too, the weight of expenditure depends on the organization of health systems, public coverage and payments made directly by families.

Communication costs are more similar, at 3.7% in Albania and 3.3% in the EU. This includes telephone services, internet and related equipment. (Monitor)


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