Assessment of E-Banking Services and Legal Framework in Albania

Abstract

Continuous advancements in information technology have led to a broad range of banking products and services.
Among all types of e-banking, internet banking provides faster, cheaper and timeless services via internet. Financial institutions
in developing countries should be aware of the advantages of online banking in terms of convenience, flexibility, competitive
advantage and lower costs. This paper reveals the current expansion of e-banking in Albania by reviewing existing transactional
sites and latest financial reports. Furthermore, e-banking legal framework in Albania has been analyzed with conclusions being
reached. The study suggests that the actual legal framework needs further improvement and should be compliant to the EU legal
framework, and that a public informing campaign should be raised with regards to electronic payment instruments. A recent
survey has been carried out to collect data from the Albanian banks offering e-banking services. The survey identifies the
important role of e-banking in gaining competitive advantage with lower costs. It implies that financial institutions in Albania have
to make strategic plans in order to improve e-banking services and online marketing.