Business Transparency Increases: More Entities Declared Beneficial Owners in 2025

This positive trend reflects not only improved formal compliance with the law, but also a gradual shift in business culture, where transparency is increasingly viewed as added value rather than merely an administrative obligation.

What Is a Beneficial Owner and Why Is It Essential?

A beneficial owner is defined as the natural person who owns or controls, directly or indirectly, a legal entity, or on whose behalf a transaction or economic activity is conducted. Identifying the beneficial owner is essential to prevent the concealment of real ownership through formal structures, nominee shareholders, or shell entities.

Accurate declaration of beneficial ownership enhances market transparency, strengthens the trust of financial institutions, partners, and investors, supports the prevention of money laundering and terrorist financing, and helps prevent the misuse of businesses for illegal purposes.

Legal Obligation to Declare Beneficial Ownership

The declaration of beneficial owners is a legal obligation for all entities registered with the National Business Center, with the exception of natural persons.

The legal framework is primarily based on Law No. 112/2020 “On the Register of Beneficial Owners,” as amended, which defines the obligated entities, the criteria for identifying beneficial owners, declaration deadlines and procedures, as well as administrative measures in cases of non-declaration or inaccurate declaration.

In addition, Law No. 9917/2008 “On the Prevention of Money Laundering and Terrorist Financing,” as amended, recognizes the register of beneficial owners as a core element of the national financial transparency system.

Under the law, each entity must declare its beneficial owner within the prescribed legal deadline following registration, update the information whenever there are changes in ownership or control structures, and ensure the accuracy and consistency of the declared data.

Increase in Declarations: An Indicator of Business Responsibility

The significant increase in the number of declarations during 2025 shows that businesses are becoming more aware of the importance of this process. Transparency is no longer seen solely as a legal requirement, but as a factor that directly affects reputation, access to financing, and relationships with domestic and international partners.

“To comply with legal requirements, each entity must ensure the accurate declaration of beneficial owners. This contributes to increased credibility and helps avoid potential penalties,” the National Business Center stated.

Simplified and Online Process

To facilitate compliance with this obligation, the National Business Center has enabled the declaration and updating of beneficial owners to be carried out online through its official electronic platform. The process is integrated, fast, and minimizes the administrative burden for entities by eliminating the need for physical presence.

This digitalization has been a key factor in the increase in the number of declarations, making the process more accessible and efficient for businesses.

Transparency as the New Market Standard

As Albania seeks to strengthen market integrity, improve the business climate, and align with European standards, the register of beneficial owners is becoming an essential instrument of good economic governance.

Data from 2025 indicate that businesses increasingly understand that transparency is not merely a legal obligation, but a long-term investment in credibility, stability, and sustainable development.