This report covers the key macroeconomic and financial releases as well as the political events from Albania for the period of June 13, 2016 – July 11, 2016. IMF warns Albania re-emergence of government arrears poses key challenge Albania and Kosovo inaugurate 400kW power transmission line Shell starts exploration of Shpiragu-3 well in Albania Albania likely not to be directly affected by Brexit BALKAN BLOG: Albania faces EU accession deadlock over stalled judicial reforms Albania's opposition Democratic Party accuses PM Rama of illegally funding Obama campaign EBRD provides €218mn loan to support restructuring of Albanian power producer KESH UK court turns down Albanian request for Leyton Orient owner's extradition Albanian central bank keeps key rate at 1.25% Key points: • Albania's inflation speeds up to 1.2% y/y in June • Albania’s trade deficit widens further through May • Albania's jobless rate falls to 16.6% in Q1 - labour force survey • Albania's registered jobless rate down 1.3pp y/y to 12% in Q1 • Albania turns to budget surplus in January-May • Albania’s loan portfolio drops further in May • Albania's commercial bank deposits edge down at end-May • Albania's foreign visitors up 15.3% y/y in Q1