ne: [213] (21) 691-425/255/186
FAX: [213] (21) 69-39-79

Flag description:
two equal vertical bands of green (hoist side) and white; a red,
five-pointed star within a red crescent centered over the two-color
boundary; the crescent, star, and color green are traditional
symbols of Islam (the state religion)

Economy Algeria

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. Economic policy reforms supported by the IMF
and debt rescheduling from the Paris Club in the past decade have
helped improve Algeria's financial and macroeconomic indicators.
Because of sustained high oil prices in the past three years,
Algeria's finances have further benefited from substantial trade
surpluses and 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. Structural reform
within the economy moves ahead slowly.

GDP:
purchasing power parity - $196 billion (2003 est.)

GDP - real growth rate:
7.4% (2003 est.)

GDP - per capita:
purchasing power parity - $6,000 (2003 est.)

GDP - composition by sector:
agriculture: 10.2%
industry: 56.5%
services: 33.4% (2003)

Investment (gross fixed):
24.8% of GDP (2003)

Population below poverty line:
23% (1999 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)

Inflation rate (consumer prices):
3.5% (2003 est.)

Labor force:
9.6 million (2003)

Labor force - by occupation:
agriculture 14%, industry 13.4%, construction and public works 10%,
trade 14.6%, government 32%, other 16% (2003 est.)

Unemployment rate:
26.2% (2003 est.)

Budget:
revenues: $25.49 billion
expenditures: $22.87 billion, including capital expenditures of $5.8
billion (2003 est.)

Public debt:
41.5% of GDP (2003 est.)

Agriculture - products:
wheat, barley, oats, grapes,