VZCZCXRO8311
RR RUEHAG RUEHAST RUEHBW RUEHDA RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA
RUEHLN RUEHLZ RUEHPOD RUEHROV RUEHSR RUEHVK RUEHYG
DE RUEHTI #0338/01 1161600
ZNR UUUUU ZZH
R 251600Z APR 08
FM AMEMBASSY TIRANA
TO RUEHC/SECSTATE WASHDC 7040
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUEAWJA/DEPT OF JUSTICE WASHDC

UNCLAS SECTION 01 OF 02 TIRANA 000338 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR EUR/SCE 
DEPT OF JUSTICE FOR OPDAT, ICITAP 
 
E.O. 12958: N/A 
TAGS: PGOV PREL ECON AL
 
SUBJECT: THIS WEEK IN ALBANIA, APRIL 19-25, 2008 
 
¶1.  (U) The following is a weekly report prepared by Embassy 
Tirana's local staff to provide political and economic context and 
insight into developments in Albania. 
 
---------------------- 
POLITICAL DEVELOPMENTS 
---------------------- 
 
¶2.  (U) A GRAND CELEBRATION OF THE PROPHET'S BIRTHDAY:  More than 
two thousand followers of Islam filled Tirana's biggest convention 
center this last weekend to mark the birthday of the Prophet 
Mohammed.  The festive event opened with the local madrassa's 
excellent and adorable young girl's and boy's choir and continued 
with recitations of the virtues of the Prophet from well known 
Albanian actors.  Several popular singers then took the stage in 
what became more a concert than a traditional service.  The audience 
broke into enthusiastic applause when one singer began a modern 
remake of a traditional song, keeping the audience on its feet for 
several minutes with clapping and singing, swaying to the beat. 
Noting this enthusiasm, Prime Minister Berisha praised the crowd, 
saying these believers embody Albania's long tradition of tolerance: 
"In meetings with heads of state and dignitaries, I have nothing 
more precious to share with them than our great religious tolerance, 
than our love and respect for each other's faiths." 
 
¶3.  (U) This was the third annual celebration under the patronage of 
the Albanian Muslim Community and sponsorship of Turkish religious 
foundations.  The event highlighted the liberal characteristics of 
Albanian Islam, where its traditional and folk-like practices would 
be anathema to many Muslims living elsewhere.  There was a 
conspicuous absence of the traditional beards and ankle-long pants 
for men, or headscarves and chadors for women, which are worn by a 
tiny but noteworthy number of mostly young Albanians.  In a growing 
division, those educated abroad in the more conservative parts of 
the Arab world follow a less liberal branch of Sunni Islam.  The few 
conservative Muslims in Albania reject gatherings such as this 
week's.  The more liberal, nationalist wing of the Albanian Muslim 
Community has so far been able to minimize the influence of these 
conservatives, helped along by a growing presence and increased 
funding from Turkish rather than Arab sources.  In spite of these 
differences, the annual festival confirmed again that the large 
number of Albanian Muslim believers are very much in tune with a 
unique Islamic-Albanian tradition. 
 
¶4.  (U) JOINT BORDER CROSSING POINT OPENS: A joint border crossing 
point between Albania and Montenegro was inaugurated at 
Muriqan-Sukobin this week, the first in the Western Balkans.  The 
1.1 million Euro project was financed by the European Commission as 
part of a broader 5.4 million Euro financial assistance package to 
build 11 border crossing points across Albania.  The joint border 
crossing point at Murriqan-Sukobin houses one two-story building 
with separate offices for each nation, providing customs, police, 
veterinary and phyto-sanitation services.  Among the dignitaries 
participating in the opening ceremony were Albania's Prime Minister 
Sali Berisha, Montenegro's Prime Minister Milo Djukanovic, Head of 
the European Commission Delegation to Albania Helmut Lohan, and Head 
of the EC Delegation to Montenegro Leopold Maurer. 
 
¶5. (U) PARENTS FIGHT TO KEEP KIDS SAFE:  A formerly defunct oil well 
located just outside the walls of a kindergarten was recently put 
back into use near the town of Fier.  Parents of the approximately 
seventy children who use the playground were alarmed to have a 
working, and somewhat dangerously decrepit, oil well about four 
meters from their playground.  Although they have filed a complaint 
with local authorities, parents remain concerned as long as the 
issue remains unsolved. 
 
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ECONOMIC DEVELOPMENTS 
--------------------- 
 
¶6. (U) CREDIT WANTED:  The considerable rise in world food prices is 
hitting Albanian consumers too.  The consumer index for March 
reached 4.6 percent, past the ceiling of 3 percent established by 
the Bank of Albania, and future trends don't look promising.  The 
Governor of the Bank suggested last week that the government should 
take immediate measures to support the agriculture sector as the 
only way to minimize the negative effects of the global crisis. 
 
¶7. (U) Although agriculture provides about 23 percent of the GDP, 
and more than half the population lives in rural areas, Albanian 
agriculture suffers many constraints.  Most of those living in the 
rural areas are subsistence farmers, with only a small portion 
producing anything for market.  The import-export ratio, although 
improving, is still 7 to 1, an indication of the poor 
competitiveness of Albanian agricultural production. 
 
¶8. (U) An important constraint to agricultural development is the 
 
TIRANA 00000338  002 OF 002 
 
 
lack of credit availability for farmers.  Although available credit 
is increasing, up 27 percent in 2007, commercial banks have 
allocated less than five percent of credit to agriculture, according 
to World Bank data.  Some micro-finance and banking institutions 
target this sector, but credit remains considerably low.  The GOA 
provided subsidies of about US $10 million aimed at increasing 
production, especially on high value crops like olive and fruit 
trees. 
 
¶9. (U) Finding better ways to increase the flow of credit to the 
rural area and agriculture was the focus of a USAID workshop last 
week, where representatives of the public sector, farmers and 
agribusiness organizations, the financial sector, and international 
donors discussed the current situation and ways to improve it. 
Expansion of credit guarantee schemes, use of warehouse receipts, 
and agricultural leasing were suggested as new ways to increase the 
flow of credit to a sector that is vital for the whole Albanian 
economy. 
 
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THIS WEEK IN ARTS AND CULTURE 
----------------------------- 
 
¶10. (U) BALKAN FILM DAYS:  Albania will send two movies to the first 
Western Balkan Film Days, organized by the European Commission (EC), 
which kicked off Monday in Brussels.  Eight films were selected for 
the three-day event.  Balkan Film Days is not only a highlight of 
the best recent films the Balkans have to offer, but also a showcase 
of the region's rich cinematic tradition.  These films allow viewers 
to see Balkan countries in a different light and to rethink some of 
the long held and well entrenched misperceptions.  The movies are 
screened in their original language with English subtitles. 
 
¶11. (U) ALWAYS A REASON TO CELEBRATE:  Albanians always find a 
reason to celebrate and be festive.  This week the occassion was the 
opening of a new mall in one of the most popular neighborhoods, 
Komuna e Parisit.  The opening ceremony was held on Thursday 
afternoon with fireworks, decorations, and several hundred people in 
attendance.  The mall has a new Conad (a popular Italian chain 
grocery) in addition to a dozen clothing and home appliances stores. 
 This is the third mall to open in Tirana in the last few years and 
is expected to be as popular and lucrative as its predecessors due 
to Albanian desire for western goods delivered in a western style. 
It can also point to the desire for more public space for cultural 
and entertainment activities for every segment of the population. 
(Tirana still has limited recreational opportunities and attractive 
public spaces.) 
 
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QUOTE OF THE WEEK 
----------------- 
 
¶12.  (U) "We are celebrating the Prophet's birthday in the same year 
that Kosovar Albanians gained their independence after a century of 
wars and struggles.  We are celebrating this year after a great 
historic event for Albania and all Albanians, that is, Albania's 
invitation into NATO."  From remarks by Haxhi Selim Muca, head of 
the Albanian Muslim Community, at this week's celebration of the 
birth of Prophet Mohammed. 
 
WITHERS