Transformation from a centrally planned economy to a market economy was accompanied by a number of reforms such as the efforts to fully liberalize prices and the creation of a two-level banking system. To achieve this goal there was the need to include the monetary policy as one of the main macroeconomic policies. The law on “the Bank of Albania” defined the competence of BoA to draft and implement the monetary policy by keeping the price stability as principal goal. The primary goal of the monetary policy for most central banks is price stability but also it has other objectives related to employment, economic growth, financial stability, interest rates and currency exchange rates. So, monetary policy means administration of monetary indicators (interest rates, the amount of money in circulation and the nominal exchange rate) in order to achieve certain economic objectives, therefore monetary policy is the process by which the government, the central bank or the monetary authority manages the supply of money to achieve specific goals such as keeping inflation or deflation under control, keeping under control the exchange rate, reaching the level of full employment or economic growth. In the monetary policy is included the direct or indirect change of some interest rates realized through: open market operations, minimum reserve requirement, lender of last resort function, intervention (sale or purchase of foreign currencies) in the foreign exchange market. There are several monetary policies strategies or regimen to achieve the prices stability such as: targeting of the monetary mass, targeting of the inflation, and monetary policy with implicit nominal anchor. The analysis will focus on the Inflation Targeting regimen, its progress over the years starting from the period when it began to be applied and the effects of this regimen to the inflation before and after the economy crisis. We have to keep in mind that the inflation is an economic phenomenon influenced by a lot of exogenous and endogenous factors, but the purpose of this paper is the influence of inflation targeting to the inflation.