In the heart of Albania, the Berat region is undergoing a quiet revolution, one that could reshape the future of rural economic development. A recent study published in the *Western Balkan Journal of Agricultural Economics and Rural Development* sheds light on how social capital—those intangible networks of trust and cooperation—is driving entrepreneurship and economic diversification in this traditionally agricultural area.
The research, led by Arlinda Hoti of the University of National and World Economy in Sofia, Bulgaria, explores how social capital fosters cooperation between entrepreneurs and local institutions, creating new opportunities for economic growth. Hoti and her team interviewed 100 farmers who are also running businesses, alongside analyzing official data from Albanian institutions. Their findings reveal that despite challenges like inadequate infrastructure and the need for professional training, the Berat region has made steady progress in diversifying its economy into tourism, handicrafts, and agro-processing.
“Social capital is the glue that holds these entrepreneurial efforts together,” Hoti explains. “Without trust and cooperation, many of these initiatives would struggle to take root.”
The study highlights the impact of EU investments and national support projects on the growth of enterprises and job creation. For the agriculture sector, this means not just sustaining traditional farming but also exploring new avenues like agro-processing and tourism. The region’s transformation offers a model for other rural areas in Albania and beyond, demonstrating how social capital can be leveraged to drive sustainable development.
As the Berat region continues to evolve, the lessons learned here could inspire similar initiatives in other rural communities. The research underscores the importance of investing in both physical and social infrastructure, as well as professional education, to unlock the full potential of rural economies. For the agriculture sector, this means embracing innovation and collaboration to create a more resilient and diversified economic landscape.
In a world where rural economies often face decline, the story of Berat offers a beacon of hope. By harnessing the power of social capital, this region is proving that sustainable development is not only possible but also within reach.