Economist: Algeria stopped CPA privatisation because of French banks

Former finances minister and economic expert Abdelatif Ben Achenhou critisied foreign banks in Algeria which “exploited the government’s good intentions and spread its networks for maximal benefit from exports, foreign trade and consumer loans.”“Algerian public and private companies, contractors as well as public and foreign banks must make real efforts for investment financing,” Ben Achenhou told Echorouk.

“Algerians have the right to take advantage from the large gains of those banks in Algeria,” he added.

Algerian contractors and owners of private companies also must make efforts to work in transparency and the government has to make the difference between their possessions of institutions and their management, according to the same source.

“Private sector in Algeria must now make the difference between the concept companies’ possession and its management which has to comply with modern methods.”

He says economy financing is not easy as vulnerable institutions create vulnerable banks and financial institutions which can not guarantee gains.

Asked about economic reforms in Algeria, Abdelatif Ben Achenhou said the pace could be accelerated but Algeria must not stand at this level. “Algerian public and private companies have to respect accountancy new standards.”

As for the privatisation of Algeria’s CPA bank (Crédit Populaire Algérien), the economist said the government stopped the privatisation process after US CitiBank had withdrawn because competition was limited in banks from the same country (France).

“Yet, we must stop planning for the process because privatisation consists in opportunities which have to be seized on the right time and place.”