Which recent change of the legislation has impacted the market noticeably?
Lawyers profession in Albania is currently regulated by law no. 55/2018, entered into force back in 2018. The change of legislation in 2018 did not produce any noticeable effect in the market of legal services, despite it introduced for lawyers certain protection mechanism from non-paying clients such as the provision to consider as an executive title the agreement reached between the lawyer and the client.
Some of the recent changes of legislation that have impacted the market include the new legal framework on strategic investments (law no. 55/2015 on strategic investments and enacted secondary legislation), the new law on tourism no. 93/2015, etc. Recently, on 29 July 2020 the Albanian Parliament approved Law no. 112/2020 for the establishment of a registry for beneficial owners which is expected to impact the market in terms of disclosure requirements for the beneficial owners of the reporting entities.
What does innovation mean to you and how can firms be better at it?
Innovation for me means the delivering of legal services from a more traditional consultative model to a collaborative model, offering integrated solutions. Many clients interface with law firms through their internal legal departments and legal teams should find the right synergies in order to build an efficient and confident professional collaboration.
Another innovative element is represented by the increased use of information technology to enhance the legal services and the tools that enable the firms deliver the most professional and excellent service for the client. Firms can be better in alternating the consultative model with the collaborative model by a more extensive understanding and organization of internal legal teams, support specialization of lawyers and create internal promotion mechanism based on merit criteria. The challenges are complex and would require time and dedication to be completed.
What are the biggest challenges facing firms in the Albanian market ?
The biggest challenges facing firms in the Albanian market are the slowdown of projects that have nourished the demand for legal services for many years due to COVID 19 and regional economic factors, as well as a certain the increase of litigation which has caused the firms to reconsider the focus of legal services and to potentiate the litigation teams. In the recent times, we have witnessed a certain stagnation in the business sector, especially referring to larger projects that in some cases have been put on hold, accompanied with an increased litigation. These new dynamics have impacted also the market of legal services. Firms have reorganized and engaged litigation lawyers to meet the needs of a changing market.
What do you do differently from other Albanian firms?
We offer a holistic approach to client’s needs, where experienced lawyers are almost exclusively dedicated to the client, create an interpersonal relationship with the latter and think of a global approach and advice to client’s business. This approach helps building a strong, efficient and confident support for the client. In practical terms, the firm for the client is not the partners but the lawyers actively assisting and advising him, knowing the client’s needs and history. Junior lawyers join associates that keep the relationship with the client.
The above organization model of the firm offers a more human and personal interface with clients, and shapes an enhanced professional collaboration. On the other hand, juniors are encouraged to increase their expertise and communication with clients in order to be further promoted in directly dealing with client’s needs and legal matters.
Which technological changes have you implemented at your firm to improve the legal services you provide to your clients?
We have implemented a secure intranet, through an internal server, aiming to increase security and protection of sensitive client’s data and documents. Sharing of documents represents another technological aspect that is being implemented and will boost the efficiency of the legal services provided by the firm. Our focus has been on increasing security and protection of our internal system from malware and external intrusion. Increased security protocols govern internet navigation and exchange of files in our internal IT system.
How has the firm developed interpersonal relationships with international players in order to grow cross-border work?
The firm has developed interpersonal relationships with international players in terms of cross-border projects by participating in meetings (virtual due to COVID 19 pandemic situation) and fruitful discussions on several topics. Additionally and as a first approach, interpersonal relationships with international players and advisors has been stimulated through sharing of expertise and knowledge of the market.
We’ve seen recent growth in activity in the country’s tourism sector. Which sectors do you think will provide opportunities for investors in the next two to three years?
Building of luxury resorts and residential complexes is expected to take place in the next 3 years and many investors are switching their focus to developing touristic structures. In addition, the development of tourism infrastructure will require professional services and in parallel, we would probably witness in a request for services that would be complementary to the development of the new touristic structures.
What are the major recent developments impacting doing business in Albania?
In my view, there are no major recent developments that are creating a substantial impact in doing business in Albania.
Between the major recent developments impacting doing business in Albania is worth mentioning:
- An increased focus on tourism investments, including maritime tourism;
- Large infrastructure projects such as the project for the building of Vlora international airport and other main roads under construction;
- Development of renewable energy projects such the photovoltaic park of Karavasta with an investment value of 100 mln Euro, etc.
Recently, the Albanian government has announced the opening of international tender proceedings for the building of a 100 MW photovoltaic park in Spitalle, which may be attractive for energy investors. Tourism, infrastructure and energy are expected to drive and lead the economic growth of Albania in the coming years.