" The government privatized 25,000 retail businesses in the first year through direct sales to workers (Colliers). The government has also relinquished title to much of the country's farmland. Eighty percent of farmland was in private hands as of 1995 (European Forum). Larger firms have been harder to privatize due to a lack of capital in the private sector. However, the government did introduce reforms in the larger manufacturing plants, allowing for managers to set wages, prices, and allowance of employee incentives through bonuses (Colliers). As of 1995, the few manufacturing firms that were not privatized were not economically viable and were in the process of being closed, although this may take a long time for fear of creating unemployment problems (Poole p.3). All of these moves and others has resulted in many economic gains for Albania. Inflation dropped to 5% in 1995. "The drop in production levels of 40% in 1991-1992 have been reversed into growth (over 10% per year since 1993)." Industrial production grew for the first time in several years, real wages are up, and foreign investment is increasing (Poole p.4-6). Resources "With its significant petroleum and natural gas reserves, coal deposits, and hydroelectric power capacity, Albania has the potential to produce enough energy for domestic consumption while also exporting fuels and electric power" (Colliers). Under the communist system, these potentials were rarely realized. Known petroleum reserves are 200 million tons. During the 1970's, Albania produced between 1.5 and 2.1 million tons. By the late '80s it had dropped to 1.2 (Colliers). Albania is blessed to have many rivers with strong currents. The country has numerous hydroelectric plants. In normal times, water provides 80% of the country's electric needs. During a two year drought in the late '80s, there was not enough water to keep the turbines running. The poor quality of coal facilities, and obsolete oil drilling equipment could not make up for the power loss.