The Report Algeria 2015

The Report: Algeria 2015

Algeria is a country rich in history and situated in a strategically important region. While its past has at times been turbulent, the last decade has been one of relative peace. Economic growth and development has followed, driven primarily by advances in the hydrocarbons sector. The fall in the international price of oil since mid-2014, however, is having a substantial economic impact, in particular on the country’s trade balance and government finances. On the positive side though, the drop in prices is accelerating efforts to further diversify the economy, pushing the government to open up the country to greater private and foreign investment in order to provide alternatives to state spending, in part through measures to render the rigid investment environment more attractive.

The Report: Algeria 2017

The Report: Algeria 2014

Non-hydrocarbons GDP growth has also been robust in recent years and is expected to rise to 4.25% in 2014 on the back of higher industrial output. Most production and investment is still driven by the public sector, but efforts to extend credit to the private sector and support business creation are beginning to show positive results. Algeria’s economic fundamentals remain strong compared to both the broader Maghreb and European markets. Solid financial reserves and rising domestic demand will help it to ride out commodity price volatility in the short term.