Samir Mane: Building an international business model across borders

The largest groups operating in Albania have now entered a new phase of development, where their activity is no longer limited to the domestic market, but is rapidly expanding to the region and beyond.

“BALFIN Group”, headquartered in Tirana, today present in 11 countries and with over 60 companies, is the clearest example of this transformation. In 2024 alone, revenues reached around 1 billion euros, of which 42% were generated outside Albania.

Meanwhile, in the domestic market, the group has increased its influence in key sectors, from finance and retail, to real estate and tourism, where the opening of “Green Coast Hotel – MGallery Collection” marks another step towards consolidating its international presence. In this interview with “Monitor”, the group’s president, Samir Mane, talks about the expansion strategy and the challenges of a business model that is becoming increasingly international.

How will you assess the progress of the BALFIN group in 2024 and the part of 2025 so far?

The year 2024 confirmed the sustainability of our business model and the balanced growth between operations in Albania and those in other countries.

Today, BALFIN operates in 11 countries and in several industries, fully or partially owning around 60 companies. In financial terms, unconsolidated gross revenues for 2024 were around 1 billion euros, with 42% of revenues coming from the Group's activity outside Albania. This is an important indicator as it also gives the size and weight of our international presence.

Investments in real estate developments in the USA and Austria have yielded the first concrete results, strengthening our portfolio in the real estate development industry. In parallel, the retail network in the Western Balkans has expanded significantly, making us a trusted partner for international brands targeting the region. In financial services, “Tirana Bank” has made significant progress in the digitalization of processes and in the quality of services, which has been reflected in a better experience for customers.

An important event for us was the opening of the “Green Coast Hotel – MGallery Collection”, in collaboration with the “Accor Group”, which has consolidated our positioning in tourism and increased the Group's international exposure.

What are the Group's expectations for the following period?

During these remaining months of the year, we aim to significantly increase and strengthen the retail store network, bringing the number of stores to around 250. In the coming months, we will introduce the French brand “Kiabi” and the Danish brand “Flying Tiger Copenhagen” to the region.

The expansion will be accompanied not only by increasing the range of offerings, but also by improving operating processes and service standards, so that growth is sustainable. In Austria, we are evaluating the further growth of the Group's presence through targeted acquisitions, with a prudent approach to capital allocation. In the financial services sector, in addition to the technological innovations that “Tirana Bank” will introduce, we will also bring new services through “Happy”, strengthening the value proposition for customers and partners.

In recent months, the BALFIN Group has had many moves in terms of sales and purchases, such as the sale of the SPAR supermarket chain, or negotiations for the sale of the “Fashion Group”. What are the reasons for this reorganization of the group's companies?

The reorganization reflects our strategy to focus on businesses that can extend beyond a single market and that have cross-border potential. In this sense, the sale of SPAR and “Fashion Group Albania” was a logical step, as these activities had geographical limitations for us to expand into other countries.

Instead, we have focused on brands like "Kiabi" and "Flying Tiger Copenhagen", which have the potential for presence in several countries and for long-term value generation.

Continuing with “Neptun” and “Jumbo”, in the retail industry, this approach allows us to build larger platforms, with scale effects and unified operating standards. In this way, we have become a key partner for international brands looking to enter the region.

How is the shrinking population affecting your activity, given that some of the group's enterprises are focused on retail? What about finding personnel?

Demographic movements are a well-known reality for Europe and their impact on markets is often temporary and different from one country to another.

For a group like BALFIN, present in several countries, these effects are mitigated at the total level. We currently count around 5,000 direct employees and over 10,000 indirect jobs through subcontractors, which shows our scale and adaptability.

We have long been open to international talent. Most of our companies employ professionals from different nationalities, at all levels. At Group level, we have employees from 21 nationalities and this diversity makes us stronger and more competitive, because it brings different perspectives and experiences, which translate into better service and more efficient operations.

In recent years, the Group has expanded into investments with a focus on tourism. How has the performance of these investments been and how much potential does it have in the future?

Tourism is a sector with tremendous growth potential globally, and this is particularly true for the Western Balkan countries, including Albania. Investments in tourism have multidimensional effects: they create employment, boost local supply chains and raise the profile of destinations. The opening of “Green Coast Hotel – MGallery Collection” has been a transformative experience for the Group, combining international standards with local expertise and demonstrating that high-quality services can be provided.

Going forward, we aim to expand this experience to other tourism projects not only in Albania, but also abroad. We are currently reviewing four projects in Austria, Italy and Greece, with a focus on projects that bring sustainable value to communities.

What are your expansion plans in the short and long term future, both domestically and abroad?

Our growth strategy is based on expanding our presence in the EU and North America, while maintaining our base and growth momentum in the region. In the short term, we will deepen our financial services through Tirana Bank and Happy, and consolidate and expand our retail network in the Western Balkans. In addition to Neptun, Jumbo, Kiabi and Flying Tiger Copenhagen, we will bring several other brands to the region. We will also have innovations in terms of shopping centers.

In the long term, the focus remains on the tourism and real estate development industries beyond Albania, focusing on Austria, the USA and Canada. This approach allows us to build a balanced portfolio between organic growth and expansion through partnerships or acquisitions.

How do you see the future of the Albanian economy, as the country progresses towards membership in the European Union?

Albania faces similar challenges to other countries in the region, but EU integration is a great opportunity to increase the sustainability and competitiveness of the economy.

The important element for the country is strategic positioning. What will we offer to the European Union market and what will we benefit from it? These two questions must be given a clear answer at the policy level and reforms must be oriented in this direction. Progress on this path requires regulatory consistency, predictability and a clear orientation towards sectors where the country has a comparative advantage.

How should businesses adapt to maintain competitiveness and what opportunities can EU membership open up?

EU membership will bring stronger competition, but also more opportunities for businesses that manage to adapt quickly. Albanian enterprises should start investing in innovation, technology and human capital as soon as possible, these are prerequisites for competing in a larger and more structured market. Within the Group, we have long been working to digitize key processes and are currently implementing the first projects where AI will be used to make them faster and more efficient. This philosophy, continuous modernization and focus on people, is the best way to turn integration into an engine of long-term development.

You are constantly expanding in the region and Europe. How would you rate the environment for doing business compared to other countries? What could be improved?

The business environment in Albania and the region has made progress, but compared to EU countries and the US, there is still work to be done. The country has great potential to attract investment, especially in tourism, energy and technology, but this potential will only be fully realized if several issues are addressed. First and foremost, greater legal certainty and predictability for investors are required through the protection of property rights and the enforcement of laws. Equally important is the reduction of bureaucracy and the simplification of administrative processes, because time is a cost and directly affects competitiveness. Another important element for investors is infrastructure, both physical and digital, to better connect the domestic market with the markets of the region and Europe. Finally, human capital remains a key issue. On the one hand, further liberalization of the labor market is needed to attract professionals needed for the development of various sectors, and on the other hand, more investment is needed in education and vocational training, to create the profiles that the modern economy requires. If these priorities are addressed seriously, Albania will significantly improve its competitiveness and attract quality investments in the years to come.