Decline and suspension
From 2023 onward, Air Albania faced mounting operational and financial difficulties that progressively undermined the sustainability of the airline. By mid-2025, the carrier’s market position had weakened significantly as low-cost airlines expanded aggressively in Albania, reducing Air Albania’s market share from earlier peaks to an estimated 3–4%. The airline also cancelled several routes and, by late 2025, was operating a largely reduced network, with many scheduled destinations no longer being served.[22][23]
Concerns about the company’s financial transparency became more prominent in 2025. The opposition and several media outlets accused the airline of failing to publish audited financial statements for several years, raising questions about profitability and compliance with reporting obligations.[24] A separate investigation reported that an overbilling dispute between the airline and a catering provider had contributed to increased losses, with a court decision later confirming irregularities in invoicing and highlighting weaknesses in the airline’s internal financial controls.[25]
By late 2025, Air Albania also became the subject of international legal disputes. An American leasing company filed suit in a British court, alleging that the airline had stopped paying lease instalments for two Airbus aircraft earlier in the year; industry reports indicated that at least one aircraft was subsequently repossessed by its lessor.[26][27] These developments further restricted the airline’s ability to maintain regular operations and signalled deteriorating liquidity.
Parallel to these financial difficulties, structural concerns about the airline’s ownership and governance persisted. Transparency monitors previously criticised the manner in which the airline’s founding private shareholder, MDN Investment, was selected, noting that the company had been formed only days before acquiring its stake and that the arrangement potentially conflicted with public procurement and state-aid norms.[28]
A turning point came on 19 November 2025, when Turkish Airlines announced that it would sell its entire 49% stake in Air Albania, withdrawing from the partnership that had underpinned the airline’s formation and early operations.[29] The announcement accelerated speculation that the airline was nearing insolvency. At the time of Turkish Airlines' opt-out from their the 49.12%[30] share, the remaining shares were held by the Albanian private company MDN Investment (41%)[31] and the government-owned Albcontrol (10%)[32]
On 10 December 2025, the Albanian Civil Aviation Authority suspended Air Albania’s operating license indefinitely, citing the carrier’s failure to comply with national civil aviation and regulatory standards. The suspension followed several days during which the airline had already cancelled all scheduled flights.[33] As of December 2025, Air Albania has not resumed operations, prompting widespread assessment that the airline had effectively collapsed.[34][35]
