The Algerian National People's Assembly (APN) will convene on November 2 to discuss the 2027 finance bill. The bill's examination will begin with a presentation by the government representative, followed by a preliminary report from the finance committee. The general debate will then commence and continue until November 5. On November 5, the session will be dedicated to hearing from parliamentary group presidents and government responses.
The 2027 finance bill integrates salary increases as a key measure. The Council of Ministers adopted the bill on October 4, incorporating these increases. Algerian President Abdelmadjid Tebboune had previously ordered their inclusion in the budget, fulfilling his commitments. He had reiterated this pledge during a press conference, stating his aim to achieve a 53% increase in salaries, which he plans to implement in one or two stages.
President Tebboune's goal is to double salaries, with 47% increases already achieved. However, the exact timeline and amounts for each category remain to be determined by the government. The president's announcement provides a general framework, but specifics are still pending. This initiative aims to enhance the purchasing power of Algerian citizens.
The 2027 finance bill does not introduce new taxes that would affect citizens' purchasing power. The president instructed that no such taxes be included in the project, ensuring that salary increases are not offset by new charges. Nevertheless, the bill contains various fiscal provisions that will be debated during the parliamentary examination.
The 2027 finance bill is based on a reference price of $60 per barrel of oil. It assumes an inflation rate of 4% and an average exchange rate of 131 Algerian dinars per dollar between 2027 and 2029. The bill outlines public expenditures of 17,882.6 billion dinars, equivalent to approximately $136 billion.
The government's fiscal projections indicate a decrease in oil-related revenue to 2,478.8 billion dinars in 2028, followed by an increase to 2,624.3 billion dinars in 2029. Total revenues are expected to rise to 9,473.19 billion dinars in 2028 and 10,010.64 billion dinars in 2029. These projections will be subject to review and discussion during the parliamentary process.
After the APN vote on November 16, the bill will be reviewed by the Council of the Nation, the upper house of Parliament. The president will then promulgate the finance law, which will take effect on January 1, 2027. Until its final adoption, the bill remains open to amendments by lawmakers.
Key points
- The 2027 finance bill focuses on salary increases and tax reforms.
- Algerian President Abdelmadjid Tebboune aims to double salaries, with 47% increases already achieved.
- The bill does not introduce new taxes affecting citizens' purchasing power.
