What caused Albania’s economic crisis and unrest in 1997?

In 1997, Albania experienced a severe economic collapse and widespread civil unrest primarily due to the failure of various pyramid investment schemes.12

These fraudulent financial structures attracted a significant portion of the population—estimated at perhaps one-third of all Albanians—who invested their personal savings in hopes of high returns. When these schemes collapsed, the resulting financial devastation triggered weeks of anarchy and widespread civil disorder across the country.31

The situation became so volatile that a United Nations-sponsored multinational force was deployed to restore order. This period of instability had long-lasting effects, contributing to political polarization that hindered the country's economic development for several years.312