Part 11

Economic overview: The hydrocarbons sector is the backbone of the economy, accounting for roughly 57% of government revenues, 25% of GDP, and almost all export earnings; Algeria has the fifth-largest reserves of natural gas in the world and ranks fourteenth for oil. Algiers' efforts to reform one of the most centrally planned economies in the Arab world began after the 1986 collapse of world oil prices plunged the country into a severe recession. In 1989, the government launched a comprehensive, IMF-supported program to achieve economic stabilization and to introduce market mechanisms into the economy. Despite substantial progress toward economic adjustment, in 1992 the reform drive stalled as Algiers became embroiled in political turmoil. In September 1993, a new government was formed, and one priority was the resumption and acceleration of the structural adjustment process. Buffeted by the slump in world oil prices and burdened with a heavy foreign debt, Algiers concluded a one-year standby arrangement with the IMF in April 1994. Following a Paris Club debt rescheduling in 1995 and a robust harvest, the economy experienced a strong recovery and key economic improvements.

GDP: purchasing power parity - $108.7 billion (1995 est.)

GDP real growth rate: 3.5% (1995 est.)

GDP per capita: $3,800 (1995 est.)

GDP composition by sector: agriculture: 12% industry: 50% services: 38%

Inflation rate (consumer prices): 28% (1995 est.)

Labor force: 6.2 million (1992 est.) by occupation: government 29.5%, agriculture 22%, construction and public works 16.2%, industry 13.6%, commerce and services 13.5%, transportation and communication 5.2% (1989)

Unemployment rate: 25% (1995 est.)

Budget: revenues: $14.3 billion expenditures: $17.9 billion, including capital expenditures of $NA (1995 est.)

Industries: petroleum, light industries, natural gas, mining, electrical, petrochemical, food processing

Industrial production growth rate: NA%

Electricity: capacity: 5,370,000 kW production: 18.3 billion kWh consumption per capita: 587 kWh (1993)

Agriculture: wheat, barley, oats, grapes, olives, citrus, fruits; sheep, cattle

Exports: $9.5 billion (f.o.b., 1995 est.) commodities: petroleum and natural gas 97% partners: Italy 21%, France 16%, US 14%, Germany 13%, Spain 9%

Imports: $10.6 billion (f.o.b., 1995 est.) commodities: capital goods 39.7%, food and beverages 21.7%, consumer goods 11.8% (1990) partners: France 29%, Italy 14%, Spain 9%, US 9%, Germany 7%

External debt: $26 billion (1994)

Economic aid: recipient: ODA, $316 million (1993)

Currency: 1 Algerian dinar (DA) = 100 centimes

Exchange rates: Algerian dinars (DA) per US$1 - 53.003 (January 1996), 47.663 (1995), 35.059 (1994), 23.345 (1993), 21.836 (1992), 18.473 (1991)

Fiscal year: calendar year

Transportation --------------

Railways: total: 4,772 km standard gauge: 3,616 km 1.435-m gauge (301 km electrified; 215 km double track) narrow gauge: 1,156 km 1.055-m gauge

Highways: total: 95,576 km paved: 63,080 km (including 400 km of expressways) unpaved: 32,496 km (1992 est.)

Pipelines: crude oil 6,612 km; petroleum products 298 km; natural gas 2,948 km

Ports: Algiers, Annaba, Arzew, Bejaia, Beni Saf, Dellys, Djendjene, Ghazaouet, Jijel, Mostaganem, Oran, Skikda, Tenes

Merchant marine: total: 77 ships (1,000 GRT or over) totaling 916,701 GRT/1,086,324 DWT ships by type: bulk 9, cargo 27, chemical tanker 7, liquefied gas tanker 10, oil tanker 5, roll-on/roll-off cargo 13, short-sea passenger 5, specialized tanker 1 (1995 est.)

Airports: total: 119 with paved runways over 3 047 m: 8 with paved runways 2 438 to 3 047 m: 24 with paved runways 1 524 to 2 437 m: 13 with paved runways 914 to 1 523 m: 4 with paved runways under 914 m: 17 with unpaved runways 2 438 to 3 047 m: 3 with unpaved runways 1 524 to 2 437 m: 19 with unpaved runways 914 to 1 523 m: 31 (1995 est.)

Heliports: 1 (1995 est.)