Observatory of illict economies in South Eastern Europe.

 

- Summary highlights -


Balkan criminals involved in large-scale smuggling through Hamburg.

Criminal groups from the Western Balkans have emerged as key players in cocaine trafficking through the Port of Hamburg — Europe’s third-largest container hub. Both Albanian-speaking networks and Slavic-speaking groups now coordinate sophisticated smuggling operations from South America, with well-developed systems for extracting cocaine from containers and distributing it across Europe. Despite record seizures, these criminal networks demonstrate remarkable resilience and adaptability. Although German authorities have made strides in enhancing port security, significant gaps remain in addressing corruption and in developing effective coordination with Balkan law enforcement agencies. Read more


The internationalization of migrant smuggling through the Balkans.

The Western Balkan route has become a critical migration corridor into the European Union, with criminal networks developing sophisticated smuggling operations to facilitate movement along this route, largely from conflict zones. The smuggling landscape has become increasingly internationalized, involving diverse actors often drawn from migrant populations, including smugglers from Iraq, Syria, Afghanistan, Morocco, Algeria, Türkiye and the Netherlands collaborating across borders. Europol has established regional task forces and operational partnerships with countries along the route, but stronger measures are needed to disrupt the financial flows that sustain these networks, including improved tracing of smuggling profits and tightened regulations on informal payment systems. Read more


Seizing crime-related virtual assets remains a challenge in the Western Balkans.

The Western Balkans face significant challenges in tracing and seizing crime-linked cryptocurrencies, despite their growing use in legitimate and criminal activities. While Serbia and Albania have established regulatory frameworks, other countries in the region lag behind with weaker oversight. Notably, only three cryptocurrency seizures cases have been documented in the region to date. The lack of comprehensive regulations, limited technical expertise and insufficient cross-border cooperation are hindering effective law enforcement. To combat the vast crypto transactions flowing through the region, countries urgently need stronger legal frameworks, specialized training programmes, enhanced public–private partnerships with blockchain analytics firms, and improved regional cooperation mechanisms. Read more


High hopes: Albania’s path towards medical cannabis.

Albania is working towards legalizing medical cannabis cultivation through establishing regulatory frameworks and participation in international bodies. Despite the country’s troubled history with illegal cannabis produc­tion, the government has created the National Agency for Cannabis Control and implemented strict security measures for legal cultivation. However, concerns remain based on North Macedonia’s experience, where legally grown cannabis is being diverted to the black market and licensing procedures have faced allegations of corruption. Albania’s licensing process includes significant fees and background checks, but questions persist about corruption risks and in ensuring proper use of taxation revenues from the industry. Read more


Criminal plasticity: the growing threat of 3D-printed weapons in South Eastern Europe.

A dangerous new threat is emerging across South Eastern Europe as criminals and violent extremists begin to exploit 3D-printing technology to manufacture untraceable, fully functional firearms known as ‘ghost guns’. Although large-scale production has yet to take root in the Western Balkans, neighbouring Greece has already dismantled a sophisticated operation producing 3D-printed firearms, and similar semi-automatic weapons have appeared on Türkiye’s black market. These weapons — which can be produced by anyone with a 3D printer and internet access — effectively bypass traditional firearm controls and leverage the absence of serial numbers to slip beneath law enforcement detection. The Western Balkan region, with its legacy of conflict and established arms trafficking networks, provides fertile ground for this evolving threat. Read more

About this issue: South Eastern Europe Risk Bulletin #21