Algeria's economic outlook is looking positive, with all indicators showing a green light. According to President Abdelmadjid Tebboune, the country's economic growth is expected to surpass the International Monetary Fund's (IMF) recent forecast of 3.8%. The President estimates that the growth rate will be between 4.01 and 4.02%, driven by the implementation of numerous investment projects.
The growth is attributed to various projects, including those related to phosphate, iron, and zinc. President Tebboune cited these projects as examples of the country's efforts to boost its economy. He also mentioned that the country's external revenues are expected to stabilize at a high level, with a target of not falling below $50 billion per year. The industries expected to contribute to this growth include automotive, mining, steel, and household appliances.
Hydrocarbons are still expected to play a significant role in Algeria's economy, with ongoing exploration and prospecting efforts. The country aims to attract major international companies to boost its revenue. President Tebboune assured that Algeria's reserves will remain high, and the country will not have any external debt. He also highlighted the importance of preserving and using these reserves rationally.
President Tebboune warned against illicit practices, such as speculation, which can drain the country's reserves. He mentioned that some economic operators have presented unrealistic import programs, which have been exposed through digitalization. The President vowed that such actions will not go unpunished, and the justice system will take action.
The President expressed satisfaction with the dynamic growth recorded at the Algerian Investment Promotion Agency (AAPI). He reported a significant increase in registered projects, including 300 related to foreign investors. This growth reflects the country's economic recovery and the restoration of investor confidence.
President Tebboune announced plans to sign a decree organizing the AAPI's one-stop shop to better identify project needs and promote balanced investment distribution across regions. He also highlighted key projects, such as the integrated phosphate project, which is expected to be completed by the end of the year. The extension of the Annaba phosphate port is also underway, with a planned delivery date in early 2027.
Algeria's position within the Organization of the Petroleum Exporting Countries (OPEC) was also discussed. President Tebboune emphasized the country's commitment to responsibility and market stability, adhering to majority decisions within the organization. He reaffirmed Algeria's role as a responsible country within OPEC.
Key points
- Algeria's GDP is expected to reach $400 billion by the end of 2026 or early 2027.
- The country's economic growth rate is estimated to be between 4.01 and 4.02%, surpassing the IMF's forecast.
- Algeria aims to stabilize its external revenues at a high level, with a target of not falling below $50 billion per year.
