Algeria: Company Managers have “gobbled up” half the budget of their sector within 3 months

Economists agreed to assert that the blameworthy reports on the government declared “Austerity” policy marked notwithstanding by the free-wheeling spending spree was behind the recent sacking of a number of CEO’s and managers of several economic and financial institutions in Algeria.

As a knock-on effect, other decisions by the relevant authorities are in the offing to re-arrange and cleanse vital sectors of activity, according to knowledgeable sources.

International economic expert Abdelmalek Mubarak Sirai suggested to this effect that over spending within the public economic enterprises and financial institutions was the main reason for the mass dismissals announced 48 hours ago by the President of the Republic.

He further argued that the latest sweeping changes are a warning signal to the rest of the public enterprises’ managers as fact-finding reports say that some of them have “gobbled up” half of their sector’s  budgets within a few months only.

For his part, economic specialist, Mourad Barour, attributed the cause of the mass sackings in this particular period to the Government’s rejection of  the so-called “economic earthquake”, stressing that the authorities are looking for strong personalities and more flexibility in a bid to resolve the problems of the creeping bureaucracy and reduce the country’s heavy import bill with more dismissals of other CEO’s expected in the very near future.