4      5 )  *+,,-. $ 4 4 <67 43 8 138 '4 $ 277 3154 43 43 5  =4   4475 3154 '4  54 $ 7 4  2792 2   8 14942 97 9 2792 9>4?   9268  8  2 2 22 5  5 21 '( 8885 5  5 5!5 8 !62 2 229 2 22 658 85 268 8 1 2 265 229 2 5 25 5 85 662 622  8 1 63  1 1%&' ( 15 1 1  511%"2'  8 16 1 1 1 1   859  16  91  8 31 61 1 8 945 1 11 %"!
It was soon followed by the reduction of current and capital account foreign inflows, an abrupt fall of foreign demand and slowdown of domestic demand for goods and services. In response to these developments, the economic growth rate marked a progressive slowdown during the last year, but still remained positive. Albania’s balance of payments was characterized by imbalances in foreign currency inflows and outflows. The imbalances were reflected in the swinging of demand and supply ratios of foreign currency, yielding the depreciation of the exchange rate in response to new balances that dominated the foreign exchange market. Fiscal policy became more expansionary in 2009, supporting economic activity in the country but also increasing the pressures on the financial markets. The shock that hit the financial system gave rise to the establishment of a challenging environment for the monetary policy to be transmitted completely and timely. Against this challenging background, the Bank of Albania accomplished its legal mandate to maintain price stability in economy successfully: CPI annual inflation remained within our 3 + 1 percent target in 2009. The Bank of Albania’s easing monetary policy established the proper monetary conditions required to maintain price stability. In addition, the supply of the economy with the necessary liquidity and at a declining cost stabilized the financial markets and created the proper conditions for the support of economic activity during 2009.