The poverty threshold per person rises to 315 euros a month, doubling in six years

The at-risk-of-poverty threshold in Albania has more than doubled over the past six years, reaching around 29,000 lekë (315 euros) a month for one person in 2025.

However, while the income threshold that classifies an individual as being at risk of poverty has risen rapidly, pensions and economic assistance payments remain far below this level.

According to the latest data from INSTAT, the at-risk-of-poverty threshold for a one-person household reached 349,565 lekë a year in 2025, or 29,130 lekë a month, up from 14,232 lekë a month in 2019.

Over six years, the threshold rose by 104.7%, or around 15,000 lekë a month. The increase accelerated particularly after 2022, when the poverty threshold was around 18,800 lekë a month; by 2024, it had reached 27,000 lekë.

But the most concerning aspect of the data is the wide gap between this threshold and the incomes available to society’s most vulnerable groups, particularly pensioners and families living on economic assistance.

According to data from the Social Insurance Institute for 2025, the average monthly urban old-age pension was around 20,100 lekë, or about 9,000 lekë below the monthly at-risk-of-poverty threshold. In rural areas, where the average pension was around 12,300 lekë a month, the gap reached nearly 16,800 lekë.

A pensioner living alone whose pension is their sole source of income falls below the at-risk-of-poverty threshold, whether in a city or a village.

The situation is even more difficult for families receiving economic assistance. According to INSTAT data, the average monthly payment to beneficiary families was around 7,253 lekë in 2025, far below the threshold of 29,130 lekë, which applies to one person alone.

For households with several members, the at-risk-of-poverty threshold is even higher, further widening the gap with social support payments.

The rising threshold highlights the wide gap between the relative standard of living and the benefits provided by social welfare schemes.

According to INSTAT’s methodology, the at-risk-of-poverty threshold is set at 60% of the median equivalised disposable income. It is a relative indicator that identifies individuals with incomes significantly lower than those of the rest of the population.

In 2025, the at-risk-of-poverty rate was 19%, down from 19.2% a year earlier. The indicator remained almost unchanged.

Pensions and economic assistance continue to be insufficient to lift people above the statistical poverty threshold when they are their sole source of income./Monitor