Official Name

People's Democratic Republic of Algeria

Capital

Algiers

Currency

Algerian dinar (DZD)

Area

Total: 2,381,741sq.km.

Population

35,000 000 ( estimation)

Main Languages

Arabic, Tamazigh

National Day

1st November 1954 Celebration of the beginning of National Struggle for independence

Terrain

mostly high plateau and desert, mountains, coastal plain

Total GDP

2006 estimate Total $253.4 billion (38th)

Geographical Location

Algeria is situated in North Africa It is limited from the North by the Mediterranean sea and from the West by Morocco, Mauritania and the Sahraoui Arab Democratic Republic. From the South by Mali and Niger and from the East by Tunisia and Libya

It occupies a superficies of 2,38,1,741 square kilometers and is rich of a coastal facade of 1,200Km. It is the second biggest country in Africa in terms of area.

Algeria has a highly valued touristic potential though not fully exploited so far to become a tourist hotspot in North Africa. Outside its 1200 Km coastline it is rich of its beautiful mountains, high and green plateaus, varied deserts with dunes and oasis, a favorable climate with a rich historical and cultural heritage, cultural centers, Museums and memorials filled with historical backgrounds and items of cultural interest.

Algiers. The city name is derived from the Arabic word al-jaza'ir, which translates as the islands, referring to the four islands which lay off the city's coast.

Land Boundaries

6,343 km
Morocco 1,559 km,
Mali 1,376 km,
Libya 982 km,
Tunisia 965 km,
Niger 956 km,
Mauritania 463 km,
Western Sahara 42 km

Climate

Mediterranean, semiarid to arid

Main Economic Sector

Since the earlier 1980's, Algeria is undergoing a systemic transition, from a state controlled economy to an open market one.

Global economic reforms have been introduced:

• to assure a smooth economic transition;
• to restructure the economy to make it more responsive to the market forces, in this era of globalization;
• to face the multiple challenges of development. Algeria's current situation is marked by a booming economy illustrated mainly by a healthy financial condition.
• Algeria's growth rate has been close to 6% for over the last six years, with the current economic rate being 5.6%;
• The Global GDP has reached the level of 50 billion dollars;
• Per capita, the GDP is getting close to 4 000 dollars;
• The monetary reserves are close to 100 billion dollars;
• The inflation rate has lowered to 2.5% while the unemployment rate has been reduced to 12%, from 25% at the beginning of the present decade.

These favorable financial conditions have helped Algeria to get rid of its foreign debt that constituted for more than 3 decades a real hindrance in the development process. Algeria's foreign debt saw a sharp reduction from 30.47 billion dollars in 1998 to 5 billion in 2007.

One important challenge for Algeria's economy was also to reduce the great dependence on its hydrocarbons sector as well as on the fluctuating situation of the oil market.

Algeria has thus embarked upon an ambitious program to modernize and diversify its economy through reforms in banking and financial sectors, liberalization of foreign trade, energy and mines sectors and privatization of public sector companies. To implement such an ambitious reform program, Algeria is also encouraging foreign direct investments as well as partnerships in different sectors of the economy particularly oil, gas and chemical industries and others such as telecommunications, financial services, air and maritime transport, construction, basic infrastructure, agriculture, fishing and tourism.

In order to promote and facilitate domestic and foreign investments, the Algerian government has created a number of departments and agencies such as the Ministry for participation and promotion of investments that draws the investment policy and coordinates the privatization process. There is also the National Investment Council (CNI) for the definition of the legal and regulatory investment framework, and finally, the National Agency for Investment Development (ANDI) that facilitates investments through the establishment of “a single window” system.

Algeria has made significant progress in attracting foreign investments. Its economy is rated A4 by many European insurance Institutions, one of the best rating in the world.

A five year complementary program for growth support envisaging 150 billion dollars of investment launched in 2005, to speed up the reform process, is already giving satisfactory results. That is the reason why the World Bank was recently stating that Algeria is currently one of the largest investing countries of the world. 

As apart of it’s modernizing strategy, Algeria is revamping and developing its existing infrastructure (roads, highways, airports, buildings etc) and improving its transportation facilities.

The government is accelerating its reform process in this sector to face both domestic and international competition. The financial structure has made necessary modernizing adjustments both to the legislative framework and the payment and management systems.

Taking advantage of its large public sector, Algeria aims at increasing the efficiency of the banking sector also through privatization. Big foreign banks mainly from Europe and United States as Citibank, HSBC, BNP Paribas or Société Générale, are already operating in Algeria.

With the bank ratio of around 30,000 inhabitants per agency, there are enormous investment opportunities in the banking sector: setting up of new banks, capital risk firms, and leasing companies, etc.

Energy sector is the backbone of the Algerian economy. The hydrocarbons reserves cover an area of 1.5 million km2 representing around 60% of the national territory.

Algeria has fifth-largest reserves of natural gas in the world and ranks fourteenth for oil reserves.

The country is currently the 3rd biggest oil producing country in Africa and 12th in the world.

Besides supplying United States via tankers, Algeria is Europe's primary partner for energy through an important and innovative network of gas pipelines crossing the Mediterranean Sea. Algerian energy exports meet about 12% of the total energy demand from Europe.

With regards to oil production, Algeria is currently producing 1.5 million barrel/day and envisages producing 2 million barrel/day by 2010.

Algeria is keen to further develop this sector therefore, it changed its laws to adapt its energy sector to the conditions of a free and competitive economy and stimulate foreign investment. The Algerian investment code offers a lot of benefits to investors who are interested in the oil and gas sectors.

Since the country's hydrocarbon wealth is relatively under-explored there is a huge potential for foreign investments in this field. Algeria has only 8 wells per 10,000 km2, while the average worldwide is 100.

Fertilizers industry is another field where foreign investments could be attracted. Algeria is indeed expected to be the biggest exporter of fertilizers in the world in a very short period.

The increase of Foreign Direct Investments reflects the positive business climate of the country. 6.2 billion euros of FDI were made between January and September 2007 whereas more than 500 FDI projects worth 43 billion euros in important sectors such as construction, real estate, finance, energy and telecommunication were recorded during the same period.

Moreover, the Algerian government plans to invest some $350m per year in the tourism sector and to attract 2.5 million tourists by 2015. Besides, many projects are coming up and investments are being made by Arab investors in Algeria's tourism sector. During the period 2008-2015 several projects will be implemented. Also, an internet portal will be soon launched by the Touring Voyages Algeria (TVA) which shall provide information on the destination Algeria. Further, the popular Publishing House, Lonely Planet is launching in United States its first tour operator "Algeria".

India-Algeria Relations

India-Algeria relations have been characterized by a convergence of approach on major issues of international concern. Active partnership within the Non-Aligned Movement and agreement on issues of basic importance to developing countries has been cementing factors over the years in this relationship.

Bilateral visits

High level exchanges between India and Algeria include visits by Prime Minister Smt Indira Gandhi in 1973 and Shri Rajiv Gandhi in June, 1985, visits of President Chadli Bendjedid in 1982, 1983 and 1987. Other significant bilateral exchanges at the political level include visits by MOS Shri R.L. Bhatia from 19-22 January, 1996, Chief Justice of India from 22-26 December, 1996 and MOS Smt. Kamala Sinha from 12-13 September, 1997. Foreign Minister Ahmed Attaf visited India in April, 1997 to attend the NAM Ministerial meeting. An invitation to Attaf for a bilateral visit is outstanding. A high level Indian delegation led by former Foreign Secretary Shri S.K. Singh visited Algeria in 1997 as part of the UN Mission to monitor the parliamentary elections in Algeria. The Indian delegation had publicly declared that the elections were held in a free and fair manner. Indian delegation's observations were highly appreciated by the Algerian leadership.

Recent visits

Relation with Algeria continued to be marked by warmth and closeness.

Economic and Commercial Relations

The bilateral trade between India and Algeria declined sharply in 1994-95 as compared to 1992-93 and 1993-94. Indian exports to Algeria have since been steadily increasing.

The latest bilateral trade figures are given below: (Value in Rs. Crores)
(Apr-Sept)	1996-97	1997.98	1998-99	1999-2000
India’s exports to Algeria	38.76	53.32	106.88	36.31
India’s imports from Algeria	0.92	4.46	2.5	42.76

India's exports to Algeria comprise mainly cotton yarn, made-ups & fabrics, Synthetic yam, fabrics and made-ups, Dyes & Intermediates, manufactures of metals, Sesame (Niger seeds). India's imports from Algeria consist mainly of Non-ferrous metals, organic and inorganic chemicals and Metalifers Ores and Metal Scrap.

Both the countries are discussing functional co-operation agreements In the fields of Science & Technology, Agriculture. Shipping, Civil Aviation, Avoidance of Double Taxation and Bilateral Investment Protection.

Cultural

The cultural exchanges between India and Algeria are not very substantive. Both the countries are working towards the early finalization of Cultural Exchange Programme for the future.

Updated: March 2000 Foreign Relations Ministry Of External Affairs, India

Main Contact in New Delhi

HE. Dr. Noureidi,ie Uaxda4 DaAdj
Ambassador.
Embassy of the People’s Democratic
Republic of Algeria, E-615, Vasant Vihar. New Delhi 110 057.
Tel : +91.11-26146706/ 26147036 / 126147611
Fax: +91-11-26147033
Email : embalgindia@hotmail.com

Indian Embassy

14, Rue des Abassides, Boite Postale 108, El-Biar, Algiers.
Tel. : 00-213-21-923288
Fax : 00-213-21-924011
E-mail : indemb@wissal.dz

Chamber of Commerce

ALGIERS CHAMBER OF COMMERCE Chambre de Commerce Palais Consulaire

B.P. 100 - Alger Ier Novembre 6, Bd
Amilcar Cabral, Bab-El Oued. Algiers, Algeria
Phone: (213) 2-574444
Fax: (213) 2-629991

CONSTANTINE CHAMBER OF COMMERCE

6 Rue de 24 Novembre 1954, BP 394 Constantine, Algeria
Phone: (213) 4-935923

ORAN CHAMBER OF COMMERCE

8 Bvd de la Soumman Oran, Algeria
Phone: (213) 6-391299 / 6-303742
Fax: (213) 6-396312

Visa Procedure

Single entry or business visas to Algeria for one month take 2-3 days to obtain from Algerian Embassies throughout the world. Three passport photos are required and a specified fee; the visa might be renewed in Algeria. A 3-month multiple entry visa could also be obtained and application must be accompanied by an invitation or reservation from a hotel.

Main Tourist Attraction

In the field of tourism, with its mixture of cultures and influences, Algeria offers something to see in every corner of the country. Algeria's rich heritages witness some of the finest Roman ruins in the world and old Arabic cities. A visit to the country's vital historical places can make some one understand why Algeria is in fact a privileged touristy destination.

Algiers, the country's capital and the largest and most important city is definitely a happening place that any tourist should not miss. This bustling metropolis provides the opportunity to sample Algerian city life by catching sunset upon the Mediterranean Sea. Algiers is the best place to experience the Arab-Berber cultural distinction of the country. Wherever they may be, every tourist destination in the country fascinates tourists by its wonderful architecture, panoramic landscapes, great historical monuments and friendly local people.

The Sahara desert is an exotic place to be explored and discovered as Neil Armstrong, the first astronaut to have walked the moon admitted, after visiting the Algerian Sahara that some Saharan landscapes reminded him of what he had seen on the moon.

ONAT (Office National Algerian de Tourisme).

Central Office, 5 boulevard Ben BoulaÏd,
Tel: 641550

2 rue Didouche Mourad,
Tel 631066;

4 rue Elisée Reclus,
Tel: 663583

Main Imports

Imports - commodities: capital goods, food and beverages, consumer goods
Imports - partners: France 29.5%, Italy 9.8%, US 7.2%, Spain 6.8%, Germany 6.2%, Canada 4.1% (1998)

Main Exports

Exports - commodities: petroleum, natural gas, and petroleum products
Exports - partners: Italy 21.2%, US 15.0%, France 12.9%, Spain 10.3%, Brazil 5.9%, Netherlands 5.5% (1998)

Airport & Harbour

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

Useful Websites

1. www.algeria.com