The Tale of Two Leks: Understanding Albania’s Currency Confusion

Albania, a country steeped in history and boasting stunning landscapes, is a popular tourist destination. But for first-time visitors, navigating the currency can be a bit tricky. You might encounter terms like 'old lek' and 'new lek,' leaving you scratching your head and wondering how much that charming souvenir actually costs.

The Lek: The Official Currency of Albania:

Albania's official currency is the Lek, denoted by Lek or ALL. Coins come in denominations of 50qindarka (cents) and 1, 5, 10, 20, and 50 lekë. Banknotes come in denominations of 100 (approximately 1 Eur), 200 (approximately 2 Eur), 500 (approximately 5 Eur), 1000 (approximately 10 Eur), 2000 (approximately 20 Eur), and 5000 lekë (approximately 50 Eur).

The 'Old Lek' vs. 'New Lek' Myth

In 1965, Albania underwent a currency reform. The government essentially removed a zero from prices by exchanging 10 old lek for 1 new lek. This means 1000 old lek would be equivalent to 100 new lek. Despite this change happening over 50 years ago, many Albanians, particularly older generations, still refer to pre-reform lek as 'old lek' and the current lek as 'new lek.' This can be confusing for tourists, leading to misunderstandings about prices.

The confusion:

The Confusion This dual terminology can lead to confusion, particularly for foreigners. For instance, a loaf of bread might cost 100 Lek (1 Euro ), but if the seller speaks in Old Lek, they would say that the loaf of bread costs one thousand Lek (but 1,000 Lek actually equals 10 Euro) In smaller cities, it is common to write the price in Old Lek, for example, the written price for a 1kg bag of rice can be 1,500 Lek, while the real value is just 150 Lek.

The Impact on Tourists & The Solution

Foreigners often struggle with this concept and may end up paying more for products than they would if just “Lek” was used. A souvenir may be priced at “one thousand Lek,” which sounds like 1,000 Lek. But the vendor means 1,000 old Lek, which is 10,000 new Lek – a tenfold difference. To address this issue, the Bank of Albania (BoA) launched a national educational campaign in November 2021. The campaign, titled ‘Just Lek. Neither old Nor New’, aims to raise awareness among people to stop using the New and Old terms concerning Lek when carrying financial transactions. The goal is to highlight that Lek is the official currency of Albania and that the nominal value is the actual value stated on a note or coin.

Conclusion

Always ask the price in new lek. This eliminates any confusion and ensures you're paying the correct amount. Carry small denominations. Having a variety of lekë bills will make it easier to pay for smaller purchases and receive correct change. Be wary of street vendors who use 'old lek' terminology. While some may be simply using an old habit, it's always best to clarify the price in new lek to avoid being overcharged.