Economy Overview
The hydrocarbons sector is the backbone of the economy, accounting for roughly 60% of budget revenues, 30% of GDP, and over 95% of export earnings. Algeria has the seventh-largest reserves of natural gas in the world and is the second-largest gas exporter; it ranks 14th in oil reserves. Sustained high oil prices in recent years, along with macroeconomic policy reforms supported by the IMF, have helped improve Algeria's financial and macroeconomic indicators. Algeria is running substantial trade surpluses and building up record foreign exchange reserves. Real GDP has risen due to higher oil output and increased government spending. The government's continued efforts to diversify the economy by attracting foreign and domestic investment outside the energy sector, however, has had little success in reducing high unemployment and improving living standards. The population is becoming increasingly restive due to the lack of jobs and housing and frequently stages protests, which have resulted in arrests and injuries, including some deaths as government forces intervened to restore order. Structural reform within the economy, such as development of the banking sector and the construction of infrastructure, moves ahead slowly hampered by corruption and bureaucratic resistance.
Agriculture Products
wheat, barley, oats, grapes, olives, citrus, fruits; sheep, cattle
Industries
petroleum, natural gas, light industries, mining, electrical, petrochemical, food processing
Industrial Production Growth Rate
8% (2005 est.)
Labor Force
10.15 million (2005 est.)
Electricity production
26.99 billion kWh (2003 est.)
Electricity Consumption
24.9 billion kWh (2003 est.)
Electricity Exports
400 million kWh (2003 est.)
Electricity Imports
200 million kWh (2003 est.)
Unemployment Rate
17.1% (2005 est.)
Population Below Poverty Line
25% (2005 est.)
Household Income or Consumption by Percentage Share
Lowest 10%: 2.8%
Highest 10%: 26.8% (1995)
Distribution of Family Income Gini Index
35.3 (1995)
Budget
Revenues: $42.05 billion
Expenditures: $30.75 billion; including capital expenditures of $5.8 billion (2005 est.)
Public Debt
30.2% of GDP (2005 est.)
Commercial Bank Prime Lending Rate
Market Value of Publicly Traded Shares
Reserves of Foreign Exchange and Gold
$56.58 billion (2005 est.)
Debt External
$19.45 billion (2005 est.)
Stock of Direct Foreign Investment at Home
Stock of Direct Foreign Investment Abroad
Exchange Rates
Algerian dinars per US dollar - 73.276 (2005), 72.061 (2004), 77.395 (2003), 79.682 (2002), 77.215 (2001)
