Albania's political confusion continued in the wake of World War I. The country lacked a single recognized government, and Albanians feared, with justification, that Greece, Yugoslavia, and Italy would succeed in extinguishing Albania's independence and carve up the country. Italian forces controlled Albanian political activity in the areas they occupied. The Serbs, who largely dictated Yugoslavia's foreign policy after World War I, strove to take over northern Albania, and the Greeks sought to control southern Albania. A delegation sent by a postwar Albanian National Assembly that met at Durrės in December 1918 defended Albanian interests at the Paris Peace Conference, but the conference denied Albania official representation. The National Assembly, anxious to keep Albania intact, expressed willingness to accept Italian protection and even an Italian prince as a ruler so long as it would mean Albania did not lose territory.

In January 1919, the Serbs attacked the Albanian inhabitants of Gusinje and Plav with regular troops and artillery after the Albanians had appealed to Britain for protection. The Serb forces massacred some of the Albanians and forced about 35,000 people to flee to the Shkodėr area. In Kosovo the Serbs subjected the Albanians to brutalities, stripped them of territory under the guise of land reform, and rewarded Serb colonists with homesteads. In response, Albanians continued guerrilla warfare in both Serbia and Montenegro.

In January 1920, at the Paris Peace Conference negotiators from France, Britain, and Greece agreed to divide Albania among Yugoslavia, Italy, and Greece as a diplomatic expedient aimed at finding a compromise solution to the territorial conflict between Italy and Yugoslavia. The deal was done behind the Albanians' backs and in the absence of a United States negotiator.

Members of a second Albanian National Assembly held at Lushnjė in January 1920 rejected the partition plan and warned that Albanians would take up arms to defend their country's independence and territorial integrity. The Lushnjė National Assembly appointed a four-man regency to rule the country. A bicameral parliament was also created, appointing members of its own ranks to an upper chamber, the Senate. An elected lower chamber, the Chamber of Deputies, had one deputy for every 12,000 people in Albania and one for the Albanian community in the United States. In February 1920, the government moved to Tiranė, which became Albania's capital.

One month later, in March 1920, President Woodrow Wilson intervened to block the Paris agreement. The United States underscored its support for Albania's independence by recognizing an official Albanian representative to Washington, and in December the League of Nations recognized Albania's sovereignty by admitting it as a full member. The country's borders, however, remained unsettled.

Albania's new government campaigned to end Italy's occupation of the country and encouraged peasants to harass Italian forces. In September 1920, after a siege of Italian-occupied Vlorė by Albanian forces, Rome abandoned it7f2 its claims on Albania under the 1915 Treaty of London and withdrew its forces from all of Albania except Sazan Island at the mouth of Vlorė Bay. Yugoslavia pursued a predatory policy toward Albania, and after Albanian tribesmen clashed with Serb forces occupying the northern part of the country, Yugoslav troops took to burning villages and killing and expelling civilians. Belgrade then recruited a disgruntled Geg clan chief, Gjon Markagjoni, who led his Roman Catholic Mirditė tribesmen in a rebellion against the regency and parliament. Markagjoni proclaimed the founding of an independent "Mirditė Republic" based in Prizren, which had fallen into Serbian hands during the First Balkan War. Finally, in November 1921, Yugoslav troops invaded Albanian territory beyond the areas they were already occupying. Outraged at the Yugoslav attack and Belgrade's lies, the League of Nations dispatched a commission composed of representatives of Britain, France, Italy, and Japan that reaffirmed Albania's 1913 borders. Yugoslavia complained bitterly but had no choice but to withdraw its troops. The so-called Mirditė Republic disappeared.

Data as of April 1992