Algeria Foreign Exchange Reserves Record a Surplus in 2024

Positive expectations are recorded in Algeria’s foreign exchange reserves during 2024, in addition to achieving a significant surplus in the trade balance for the current year, Finance Minister Laaziz Fayed announced on Monday.

In his address during the presentation of the draft finance law for the year 2025 before the deputies of the National People’s Assembly, Laaziz Fayed confirmed the ministry expected an increase in foreign exchange reserves outside gold to $72 billion by the end of 2024 after it reached $69 billion in 2023.

According to Minister Fayed, the economic growth rate is expected to reach 4.4% instead of 4.1%, as the non-hydrocarbon sector is expected to contribute 4.7% to the gross domestic product after it was at 4.3%. This indicates that the closing forecasts for the trade balance for 2024 are estimated at $2.8 billion, equivalent to 1.1% of the gross domestic product.

On another note, Minister Fayed explained that the review of public sector employees’ wages during 2024 affected more than 3 million employees and retired employees with a financial impact of DZD 578 billion, indicating that the review of public sector employees’ wages in 2022 amounted to more than 2.7 million employees with DZD 220 billion, while the second review for 2023 affected more than 2.8 million employees and retired employees with a financial impact of DZD 585 billion.

During the same speech, Minister Fayed revealed the lifting of the freeze on 982 investment operations for a financial amount of DZD 1,838 billion, indicating that the implementation of major projects included in the Code of Major Public Investments, estimated at DZD 9,815 billion, has reached 178 projects, affecting public works, irrigation, housing, agriculture, transport, environment, mining and health.

Laaziz Fayed highlighted the remarkable development in the general budget expenditures, which reached DZD 15,275 billion in 2024, after being at DZD 7,820 billion in 2020, which allowed for an increase in the growth rate to 4.4% in 2024, while maintaining the level of public debt at less than 50% of the gross domestic product, compared to the international standard estimated at 60%.