Albania Launched Residence Permit Programs for Pensioners and Digital Nomads: Current Conditions

In 2021, the Albanian Parliament passed amendments to the Law “On Foreigners” (No. 79/2021), which came into effect in October that year and remain in force in 2025. These changes have simplified the process for foreign nationals arriving in Albania, helping them avoid unnecessary bureaucratic hurdles.

The application process is relatively straightforward and not overly bureaucratic, with many services now available online through the e-Albania portal. Foreigners can review the requirements, timelines, and conditions for relocation in advance and submit applications for new types of residence permits.

Residency Permits for Pensioners

Foreign retirees can now apply for a special retirement-based residence permit, allowing them to live in Albania without needing to prove work or family ties. Previously, they had to state a valid reason for staying in the country.

Although owning property in Albania did not automatically grant residency rights, property ownership was often used as a basis for obtaining a permit. That, along with family reunification or work-related grounds, were the only options. Moreover, pensioners weren’t allowed to participate fully in the labor market — they could only engage in volunteer work and were still required to contribute to social insurance and taxes, even though volunteer work is unpaid.

Now, under Article 85, foreign nationals who are entitled to receive a pension in their home country can apply for a retirement residence permit in Albania.

To qualify, they must provide the following documents:

• A notarized rental agreement for housing in Albania (at least 20 sq. meters per person).
• Health insurance valid in Albania.
• Proof of an annual pension of at least €11,600.
• A statement from an Albanian bank confirming pension transfers.
• A police clearance certificate, translated and notarized.

This permit is renewable on a yearly basis and does not require the payment of taxes. However, pensioners are not allowed to engage in economic or professional activities while living in the country.

Residence Permits for Students and Researchers

According to current laws, foreign students and researchers who complete their studies at Albanian universities can stay in the country for up to nine months to seek employment. If the applicant receives a job offer or an internship agreement, they may stay longer, provided they can submit documents supporting the need to remain in Albania.

Residency for Digital Nomads

Albania also runs a “Digital Mobile Workers” program that allows digital nomads to obtain a residence permit for up to one year, with extensions available — first for two years, and then up to five. After five years, they become eligible to apply for permanent residency. The program is especially popular among IT professionals, freelancers, and remote workers.

Previously, digital nomads were required to either register a local company or secure a job offer from an Albanian employer. Now, they can obtain a residence permit simply by submitting the following:

• A notarized rental contract (minimum 20 sq. meters per person).
• An employment contract or freelance agreement with a foreign client, confirming remote work.
• Proof of income of at least €11,000 per year (or €916 per month).
• Health insurance issued by an Albanian provider.
• A diploma or certificate proving qualifications, translated into Albanian.
• A clean criminal record certificate.

Applications are submitted online through the e-Albania portal. Once submitted, the applicant pays a processing fee of €165 and waits up to 30 days for immigration authorities to review the request.

For the first year of residency, digital nomads are exempt from paying income tax. Starting from the second year, a progressive income tax rate applies: 0% for earnings up to €508/month, 13% for income between €508 and €610, and 23% for earnings exceeding €2000 per month.