Algeria Rules Out Fuel Price Hike for Now

Algerian Finance Minister Mohammed Lamine Lebbou has quashed rumors of an impending fuel price hike in the country. Speaking at the National People's Assembly (APN) last Thursday, Lebbou assured citizens that the government has no intention of increasing fuel prices at the pump. His statement comes as a relief to many, as speculation had been mounting about a potential price increase.

Lebbou emphasized that any decision to adjust fuel prices would be a serious matter, given its direct impact on the population. He argued that as a social state, preserving purchasing power is part of the government's DNA. The minister explained that if the government had planned to increase fuel prices, it would have been legislated, integrated, debated, and quantified in the budget.

The minister's comments were in response to concerns raised by lawmakers about Article 218 of the 2027 Finance Bill, which mentions the possibility of revising fuel prices. Lebbou clarified that the term "revision" can imply both an increase and a decrease, excluding any unilateral interpretation as a price hike announcement. He added that any decision to increase fuel prices would require inscription in the bill and an evaluation of its financial consequences.

The 2027 Finance Bill aims to preserve citizens' purchasing power and improve their living conditions. Measures include increasing salaries and allocating significant funds to social transfers, reinforcing the state's social character. Deputies have welcomed these measures, which are designed to mitigate the impact of economic challenges on citizens.

The government's decision to maintain current fuel prices is also influenced by the need to balance economic viability with social cohesion. In October, Minister of State for Hydrocarbons Mohamed Arkab stated that the possibility of revising fuel prices does not imply a programmed price hike. Instead, it allows for targeted and regulated adjustments to ensure an equilibrium between economic and social considerations.

Algeria's fuel price policy has been subject to change in recent years. In 2026, the Regulatory Authority for Hydrocarbons (ARH) increased fuel prices, citing a February 2021 decree that sets the methodology for calculating fuel prices based on production costs and distributor margins. The decree grants the ARH the authority to reassess fuel prices at the pump.

The government's commitment to social welfare and economic stability remains a priority. By ruling out a fuel price hike for now, the administration aims to maintain social cohesion and protect citizens' purchasing power. The decision reflects the government's cautious approach to economic policy, balancing the needs of both the economy and the population.

Key points

• Algerian government has no plans to increase fuel prices at the pump, according to Finance Minister Mohammed Lamine Lebbou.