Editing Algeria (section)

== Economy ==
{{Main|Economy of Algeria}}
[[File:GDP per capita development in Algeria.png| upright=1.35|thumb|right|GDP per capita development in Algeria]]
Algeria's currency is the [[Algerian dinar|dinar]] (DZD). The economy remains dominated by the state, a legacy of the country's socialist post-independence development model. In June 2024 The World Bank's 2024 report marks a turning point for Algeria, which joins the select club of upper-middle-income countries. This economic rise, the result of an ambitious development strategy, places the country in the same category as emerging powers such as China, Brazil and Turkey<ref>{{Cite web |date=2024-07-24 |title=Banque mondiale : 6 pays d'Afrique dont 2 du maghreb à revenu intermédiaire supérieur |url=https://lanouvelletribune.info/2024/07/banque-mondiale-6-pays-dafrique-dont-2-du-maghreb-a-revenu-intermediaire-superieur/ |access-date=2024-07-30 |website=La Nouvelle Tribune |language=fr-FR}}</ref><ref>{{Cite web |title=Algeria reclassified to upper middle income by WB |url=https://www.aps.dz/en/economy/52947-world-bank-algeria-s-positioning-improves-in-new-classification-of-economies}}</ref><ref>{{Cite web |title=Algeria reclassification to upper middle income by World Bank |work=World Bank Blogs |url=https://blogs.worldbank.org/en/opendata/world-bank-country-classifications-by-income-level-for-2024-2025}}</ref> In recent years, the Algerian government has halted the privatisation of state-owned industries and imposed restrictions on imports and foreign involvement in its economy.<ref>{{Cite web |last1=Cilliers |first1=Jakkie |last2=Kwasi |first2=Stellah |date=8 June 2023 |title=Stagnation or Growth? Algeria's development pathway to 2040 |url=https://futures.issafrica.org/special-reports/country/algeria/#09-economy |access-date=21 January 2025 |website=futures.issafrica.org |language=en}}</ref> These restrictions are just starting to be lifted off recently although questions about Algeria's slowly-diversifying economy remain.<ref>{{Cite journal |date=2023-01-01 |title=Algerian efforts to diversify the economy will be slow |url=https://www.emerald.com/insight/content/doi/10.1108/oxan-db280723/full/html |journal=Emerald Expert Briefings |volume= |issue= |doi=10.1108/OXAN-DB280723 |issn=2633-304X}}</ref><ref>{{Cite journal |last=Alby |first=Stéphane |date=25 June 2024 |title=ALGERIA: POSITIVE SIGNS BUT MAJOR CHALLENGES |url=https://economic-research.bnpparibas.com/pdf/en-US/Algeria-positive-signs-major-challenges-7/15/2024,49785 |journal=Eco Emerging |issue=Q3 2024 |pages=21–22 |via=[[BNP Paribas]]}}</ref>

Algeria has struggled to develop industries outside hydrocarbons in part because of high costs and an inert state bureaucracy. The government's efforts to diversify the economy by attracting foreign and domestic investment outside the energy sector have done little to reduce high youth unemployment rates or to address housing shortages.<ref name="AlgeriaFactbook"/> The country is facing a number of short-term and medium-term problems, including the need to diversify the economy, strengthen political, economic and financial reforms, improve the business climate and reduce inequalities among regions.<ref name=aaeo/>

A wave of economic protests in February and March 2011 prompted the Algerian government to offer more than $23&nbsp;billion in public grants and retroactive salary and benefit increases. Public spending has increased by 27% annually during the past five years. The 2010–14 public-investment programme will cost US$286&nbsp;billion, 40% of which will go to human development.<ref name=aaeo/>
[[File:A Market in Algeria.jpg|thumb|[[Street market]] in Algeria]]
Thanks to strong hydrocarbon revenues, Algeria has a cushion of $173&nbsp;billion in [[foreign currency reserves]] and a large hydrocarbon stabilisation fund. In addition, Algeria's [[List of countries by external debt|external debt]] is extremely low at about 2% of GDP.<ref name="AlgeriaFactbook"/> The economy remains very dependent on hydrocarbon wealth, and, despite high foreign exchange reserves (US$178&nbsp;billion, equivalent to three years of imports), current expenditure growth makes Algeria's budget more vulnerable to the risk of prolonged lower hydrocarbon revenues.<ref name=imfart4/>

Algeria has not joined the [[WTO]], despite several years of negotiations but is a member of the [[Greater Arab Free Trade Area]],<ref>{{Cite web|title=Members of the GAFTA – Greater Arab Free Trade Area|url=https://www.worlddata.info/trade-agreements/gafta.php|access-date=29 January 2022|website=Worlddata.info|archive-date=29 January 2022|archive-url=https://web.archive.org/web/20220129230922/https://www.worlddata.info/trade-agreements/gafta.php|url-status=live}}</ref>{{unreliable source?|certain=yes|reason=Self-published source. See Special:PermanentLink/1244711437#worlddata.info|date=September 2024}} the [[African Continental Free Trade Area]],<ref>{{Cite web|title=KUNA : Algeria officially joins AU free trade agreement – Economics – 16/12/2019|url=https://www.kuna.net.kw/ArticleDetails.aspx?id=2841571&language=en|access-date=29 January 2022|website=kuna.net.kw|archive-date=29 January 2022|archive-url=https://web.archive.org/web/20220129230920/https://www.kuna.net.kw/ArticleDetails.aspx?id=2841571&language=en|url-status=live}}</ref> and has an association agreement with the European Union.<ref>{{Cite web|title=General presentation of Association Agreement|url=https://www.caci.dz/en-us/Nos%20Services/coop%C3%A9ration%20internationale/Pages/accord-association/Pr%C3%A9sentation-g%C3%A9n%C3%A9ral-de-l%27Accord-d%27Association.aspx|access-date=29 January 2022|website=caci.dz|archive-date=29 January 2022|archive-url=https://web.archive.org/web/20220129230921/https://www.caci.dz/en-us/Nos%20Services/coop%C3%A9ration%20internationale/Pages/accord-association/Pr%C3%A9sentation-g%C3%A9n%C3%A9ral-de-l%27Accord-d%27Association.aspx|url-status=live}}</ref><ref>{{cite web|title=Doing Business in Algeria|url=http://algiers.usembassy.gov/doing_business_algeria.html|publisher=Embassy of the United States Algiers, Algeria|url-status=dead|archive-url=https://web.archive.org/web/20121228091321/http://algiers.usembassy.gov/doing_business_algeria.html|archive-date=28 December 2012}}</ref>

Turkish direct investments have accelerated in Algeria, with total value reaching $5&nbsp;billion. As of 2022, the number of Turkish companies present in Algeria has reached 1,400. In 2020, despite the pandemic, more than 130 Turkish companies were created in Algeria.<ref>{{Cite web |last=Dubessy |first=Frédéric |title=Turkey strengthens its investments in Algeria |url=https://en.econostrum.info/Turkey-strengthens-its-investments-in-Algeria_a1362.html |access-date=2022-04-22 |website=Econostrum {{!}} Economic News in the Mediterranean |archive-date=23 April 2022 |archive-url=https://web.archive.org/web/20220423015337/https://en.econostrum.info/Turkey-strengthens-its-investments-in-Algeria_a1362.html |url-status=dead }}</ref>

=== Oil and natural resources ===
{{see also|Mining industry of Algeria}}
[[File:Algeria pipelines map.jpg|thumb|Pipelines across Algeria]]

Algeria, whose economy is reliant on petroleum, has been an [[OPEC]] member since 1969. Its crude oil production stands at around 1.1&nbsp;million barrels/day, but it is also a major gas producer and exporter, with important links to Europe.<ref name=opb15>{{cite web|title=OPEC Bulletin 8-9/12|url=http://www.opec.org/opec_web/flipbook/OB08092012/OB08092012/assets/basic-html/page17.html|page=15|access-date=6 January 2013|archive-url=https://web.archive.org/web/20131224114739/http://www.opec.org/opec_web/flipbook/OB08092012/OB08092012/assets/basic-html/page17.html|archive-date=24 December 2013|url-status=live}}</ref> Hydrocarbons have long been the backbone of the economy, accounting for roughly 60% of budget revenues, 30% of GDP, and 87.7%<ref>{{Cite news|date=13 November 2021|title=Exportations hors hydrocarbures: une recette de près de 3 mds de dollars durant les huit 1ers mois de 2021|work=APS|url=https://www.aps.dz/economie/127366-exportations-hors-hydrocarbures-une-recette-de-pres-de-3-mds-de-dollars-durant-les-huit-1ers-mois-de-2021|access-date=30 January 2022|archive-date=29 January 2022|archive-url=https://web.archive.org/web/20220129230916/https://www.aps.dz/economie/127366-exportations-hors-hydrocarbures-une-recette-de-pres-de-3-mds-de-dollars-durant-les-huit-1ers-mois-de-2021|url-status=live}}</ref> of export earnings. Algeria has the [[List of countries by natural gas proven reserves|10th-largest reserves of natural gas]] in the world and is the [[List of countries by natural gas exports|sixth-largest gas exporter]]. The U.S. [[Energy Information Administration]] reported that in 2005, Algeria had {{convert|160|Tcuft|order=flip}} of proven [[natural gas reserves]].<ref name="ciawfb">{{cite web|url=https://www.cia.gov/library/publications/the-world-factbook/rankorder/2253rank.html|title=Country Comparison: Natural Gas – Proved Reserves|publisher=Cia.gov|access-date=17 January 2013|archive-url=https://web.archive.org/web/20170307234405/https://www.cia.gov/library/publications/the-world-factbook/rankorder/2253rank.html|archive-date=7 March 2017|url-status=dead}}</ref> It also ranks [[List of countries by proven oil reserves|16th in oil reserves]].<ref name="AlgeriaFactbook"/>

Non-hydrocarbon growth for 2011 was projected at 5%. To cope with social demands, the authorities raised expenditure, especially on basic food support, employment creation, support for SMEs, and higher salaries. High hydrocarbon prices have improved the current account and the already large international reserves position.<ref name=imfart4/>

Income from oil and gas rose in 2011 as a result of continuing high oil prices, though the trend in production volume is downward.<ref name=aaeo/> Production from the oil and gas sector in terms of volume continues to decline, dropping from 43.2&nbsp;million tonnes to 32 million tonnes between 2007 and 2011. Nevertheless, the sector accounted for 98% of the total volume of exports in 2011, against 48% in 1962,<ref>{{cite web|url=http://www.tsa-algerie.com/actualite/item/622-le-temps-des-crapules |title=Le temps des crapules&nbsp;– Tout sur l'Algérie |publisher=Tsa-algerie.com |date=27 May 2013 |author =Benchicou, Mohamed |url-status=dead |archive-url=https://web.archive.org/web/20140311022328/http://www.tsa-algerie.com/actualite/item/622-le-temps-des-crapules |archive-date=11 March 2014 }}</ref> and 70% of budgetary receipts, or US$71.4&nbsp;billion.<ref name=aaeo/>

The Algerian national oil company is [[Sonatrach]], which plays a key role in all aspects of the oil and natural gas sectors in Algeria. All foreign operators must work in partnership with Sonatrach, which usually has majority ownership in production-sharing agreements.<ref>{{cite web|title=Country Analysis Briefs&nbsp;– Algeria |url=http://www.eia.gov/cabs/Algeria/pdf.pdf |publisher=Energy Information Administration |url-status=dead |archive-date=31 May 2013 |archive-url=https://web.archive.org/web/20130531053812/http://www.eia.gov/cabs/Algeria/pdf.pdf}}</ref>

Access to [[biocapacity]] in Algeria is lower than world average. In 2016, Algeria had 0.53 global hectares<ref name=footprintdata>{{cite web|url=http://data.footprintnetwork.org/#/countryTrends?cn=4&type=BCpc,EFCpc|title=Country Trends|publisher=Global Footprint Network|access-date=23 June 2020|archive-date=8 August 2017|archive-url=https://web.archive.org/web/20170808050235/http://data.footprintnetwork.org/#/countryTrends?cn=4&type=BCpc,EFCpc|url-status=live}}</ref> of biocapacity per person within its territory, much less than the world average of 1.6 global hectares per person.<ref>{{Cite journal |last1=Lin |first1=David |last2=Hanscom |first2=Laurel |last3=Murthy |first3=Adeline |last4=Galli |first4=Alessandro |last5=Evans |first5=Mikel |last6=Neill |first6=Evan |last7=Mancini |first7=MariaSerena |last8=Martindill |first8=Jon |last9=Medouar |first9=FatimeZahra |last10=Huang |first10=Shiyu |last11=Wackernagel |first11=Mathis |year=2018 |title=Ecological Footprint Accounting for Countries: Updates and Results of the National Footprint Accounts, 2012–2018 |journal=Resources|volume=7|issue=3|pages=58|doi=10.3390/resources7030058 |doi-access=free|bibcode=2018Resou...7...58L }}</ref> In 2016, Algeria used 2.4 global hectares of biocapacity per person – their [[ecological footprint]] of consumption. This means they use just under 4.5 times as much biocapacity as Algeria contains. As a result, Algeria is running a biocapacity deficit.<ref name=footprintdata/> In April 2022, diplomats from Italy and Spain held talks after Rome's move to secure large volume of Algerian gas stoked concerns in Madrid.<ref>{{Cite news |date=2022-04-12 |title=Italy and Spain Hold Talks to Head Off Tension Over Algerian Gas|work=Bloomberg.com |url=https://www.bloomberg.com/news/articles/2022-04-12/italy-and-spain-hold-talks-to-head-off-tension-over-algeria-gas |access-date=2022-04-14 |archive-date=14 April 2022 |archive-url=https://web.archive.org/web/20220414050705/https://www.bloomberg.com/news/articles/2022-04-12/italy-and-spain-hold-talks-to-head-off-tension-over-algeria-gas |url-status=live }}</ref> Under the deal between Algeria's Sonatrach and Italy's Eni, Algeria will send an additional 9 billion cubic metres of gas to Italy by next year and in 2024.<ref>{{Cite web |date=2022-04-11 |title=Italy looks to demote Russia and make Algeria its top gas supplier |url=https://www.politico.eu/article/italy-turns-to-algeria-to-replace-russian-gas/ |access-date=2022-04-14 |website=POLITICO|archive-date=14 April 2022 |archive-url=https://web.archive.org/web/20220414030803/https://www.politico.eu/article/italy-turns-to-algeria-to-replace-russian-gas/ |url-status=live }}</ref>

=== Research and alternative energy sources ===
Algeria has invested an estimated 100&nbsp;billion dinars towards developing research facilities and paying researchers. This development programme is meant to advance alternative energy production, especially solar and wind power.<ref>{{cite web|url=http://portail.cder.dz/spip.php?article1571 |title=Renewable Energy and Energy Efficiency Algerian Program (English Version) |access-date=31 October 2016 |url-status=dead |archive-url=https://web.archive.org/web/20161101101749/http://portail.cder.dz/spip.php?article1571 |archive-date=1 November 2016 }}</ref> Algeria is estimated to have the largest solar energy potential in the Mediterranean, so the government has funded the creation of a solar science park in Hassi R'Mel. Currently, Algeria has 20,000 research professors at various universities and over 780 research labs, with state-set goals to expand to 1,000. Besides solar energy, areas of research in Algeria include space and satellite telecommunications, nuclear power and medical research.

=== Labour market ===
The overall rate of unemployment was 11.8% in 2023.<ref name="unemplyment">{{cite web | title=World Bank Open Data | website=World Bank Open Data | date=18 Jun 2024 | url=https://data.worldbank.org/indicator/SL.UEM.TOTL.ZS?locations=DZ | language=en | access-date=10 Nov 2024}}</ref> The government strengthened in 2011 the job programmes introduced in 1988, in particular in the framework of the programme to aid those seeking work (Dispositif d'Aide à l'Insertion Professionnelle).<ref name="aaeo" />

Despite a decline in total unemployment, youth and women unemployment is high.<ref name="imfart4">{{cite web|title=Algeria: 2011 Article IV Consultation|url=http://www.imf.org/external/pubs/ft/scr/2012/cr1220.pdf|publisher=IMF|access-date=6 January 2013|archive-url=https://web.archive.org/web/20140311020241/http://www.imf.org/external/pubs/ft/scr/2012/cr1220.pdf|archive-date=11 March 2014|url-status=live}}</ref>

=== Tourism ===
{{Main|Tourism in Algeria}}
[[File:Giants - Rock towers in the Algerian Sahara.jpg|thumb|[[Djanet]]]]

The development of the tourism sector in Algeria had previously been hampered by a lack of facilities, but since 2004 a broad tourism development strategy has been implemented resulting in many hotels of a high modern standard being built.

There are several [[UNESCO]] [[World Heritage Sites]] in Algeria<ref>{{cite web|last=UNESCO|title=UNESCO World Heritage Centre|url=https://whc.unesco.org/en/statesparties/dz|access-date=25 September 2011|archive-url=https://web.archive.org/web/20110919064425/https://whc.unesco.org/en/statesparties/dz|archive-date=19 September 2011|url-status=live}}</ref> which includes [[Al Qal'a of Beni Hammad]], the first capital of the [[Hammadid]] empire; [[Tipasa]], a Phoenician and later Roman town;[[Djémila]] and [[Timgad]], both [[Ancient Rome|Roman]] ruins; [[M'Zab Valley]], a limestone valley containing a large urbanised [[oasis]]; and the [[Casbah]] of Algiers, an important citadel. The only natural [[World Heritage Site]] in Algeria is the [[Tassili n'Ajjer]], a mountain range.

=== Transport ===
{{Main|Transport in Algeria}}
[[File:Autoroute est ouest ghomri2.JPG|thumb|The main highway connecting the Moroccan to the Tunisian border was a part of the [[Cairo–Dakar Highway]] project.]]

Two trans-African automobile routes pass through Algeria:
* [[Cairo-Dakar Highway]]
* [[Algiers-Lagos Highway]]
The Algerian road network is the densest in Africa; its length is estimated at {{cvt|180,000|km}} of highways, with more than 3,756 structures and a paving rate of 85%. This network will be complemented by the [[Algeria East–West Highway|East-West Highway]], a major infrastructure project currently under construction. It is a three-way, {{convert|1216|km|mi|adj=mid|-long}} highway, linking [[Annaba]] in the extreme east to the [[Tlemcen]] in the far west. Algeria is also crossed by the [[Trans-Sahara Highway]], which is now completely paved. This road is supported by the Algerian government to increase trade between the six countries crossed: Algeria, [[Mali]], [[Niger]], [[Nigeria]], [[Chad]], and [[Tunisia]].