Albania's clothing and footwear exporters are calling for urgent government and central bank action as the lek's record strength against the euro erodes their competitiveness, with the industry warning that tens of thousands of jobs have disappeared as factories struggle to absorb rising costs.

"The decline of the clothing and footwear manufacturing sector does not only affect companies," ProEksport Albania, which represents the country's garment and footwear manufacturers, said in a statement on Facebook.

"In many areas of the country, our industry is the main or only source of employment. Every job lost translates into social costs for families and local communities."

The euro was trading at around ALL91.49 on September 21, according Bank of Albania. The lek has gained about 5.1% against the euro since the start of the year and 5.3% over 12 months.

ProEksport president Edvin Prençe said on the Portofol television programme that the loss of competitiveness was being reflected directly in exports, contracts and employment.

The association said the clothing and footwear sector, which historically employed more than 65,000 people, now had around 20,000 fewer jobs. Companies were losing contracts and orders as international brands turned to countries offering lower costs and stronger support policies, it said.

"The exchange rate problem is no longer just a financial issue for companies. It is becoming an economic, social and employment issue," ProEksport said.

The association said it was not seeking direct subsidies, but called for an immediate technical roundtable involving the government, Bank of Albania and exporting industry, a full assessment of the exchange rate's impact on production and exports, and measures to restore competitiveness.

It also wants the government to consider a preferential industrial exchange rate for exporters, proposing a reference rate of €1 to ALL100.

The pressure is particularly acute for Albania's "fason" industry, whose manufacturers produce clothing and footwear for foreign brands. Contracts are commonly denominated in euros while wages and many domestic production costs are paid in lek, meaning a stronger domestic currency reduces exporters' revenues when converted into local currency.

Official trade data show the sector has already been losing ground. Textile and footwear exports fell 14.2% year on year in May, their sharpest annual decline, while exports for the first five months fell 7.3% to ALL42bn. Overall Albanian goods exports rose 4.5% to ALL158bn in the same period.

The weakness continued into the summer. In August, textiles and footwear were again the largest negative contributor to export growth, even as total goods exports increased 1.6% year on year to ALL20.5bn.

The lek's appreciation is being driven by broader improvements in Albania's external finances, particularly tourism and foreign investment. Foreign visitors spent €2.38bn in Albania during the first half of 2026, up 13.4% from a year earlier, while net tourism income reached €957mn.

The result has been persistent upward pressure on the lek despite efforts by the central bank to slow its appreciation. The Bank of Albania bought €932.8mn in the domestic foreign exchange market in 2024, while its foreign exchange purchases exceeded €1bn in 2025, according to central bank and BIS data. In the first quarter of 2026, the central bank bought €139.6mn, including €95.5mn through direct interventions intended to curb the lek's appreciation. Yet the currency continued to strengthen.

The exchange rate has changed dramatically over the longer term. The euro averaged around ALL124.39 in January 2019 and remained above ALL120 until early 2022. It fell below ALL100 for the first time in August 2024, while the rate was around ALL98 in May 2025.

For exporters, ProEksport says the problem is no longer simply the level of the currency but the speed and persistence of its appreciation.

"This crisis requires attention and concrete measures," the association said. "An economy cannot rely only on consumption and imports. Albania needs to produce, export and preserve jobs."

The debate puts the government and central bank in a difficult position: the strong lek reflects growing foreign currency inflows from tourism, investment and other services, but is simultaneously increasing pressure on manufacturers whose revenues depend heavily on euro-denominated export contracts.