Algeria’s economic and financial crisis is no secret; but the degree of their challenges may shock the average individual.
According to a government document, the Council of Ministry states the reserves have been decreasing since May 2014 when they were at 193 billion to July 2017, when they were recorded at 105 billion.
Although Algeria is technically economically sovereign, it is exhibiting a decrease of 3 billion in a month.
One of the economic challenges is the decrease in oil taxes that has left a number of budget deficits and an increase in treasury savings from the FFR; all of the above factors may result in a challenging budget to balance in 2017 and 2018.
To combat the challenging economic situation, the government has chosen a two-step approach that will help to recover the public finance as well as increase temporary non-conventional internal financing from the Bank of Algeria.
