All values, unless otherwise stated, are in US dollars.
Algerian exports in 2006View of the oil port of Béjaïa.
The economy of Algeria deals with Algeria's current and structural economic situation. Since independence in 1962, Algeria has launched major economic projects to build up a dense industrial base. However, despite these major achievements (roads, freeways, universities, hospitals, factories, housing, metro and tramway systems, etc.), the Algerian economy has gone through various stages of turbulence.
In the 1980s, the Algerian economy experienced major difficulties. The oil counter-shock of 1986 dealt a heavy blow to a virtually rentier economy, during the period of anti-scarcity and stabilization plans. In the early 1990s, Algeria embarked on a series of structural reforms, making the transition to a market economy a reality.
In 2012, the Algerian economy remains highly dependent on hydrocarbon rents, which represent the country's main source of revenue, without having succeeded in diversifying and establishing internationally competitive industrialization.
The 2017 report on Algeria by business intelligence and consultancy firm Oxford Business Group (OGB), highlights the efforts devoted by the country to strengthening and diversifying its economy against the backdrop of falling oil prices. The report highlights the growing contribution of the private sector to GDP, in particular the role of small and medium-sized enterprises (SMEs) supported by new measures; as well as the financial services sector, which has seen positive developments such as the introduction of online payments.
Despite the efforts made, the country still faces a number of short-term problems, including the need to diversify the economy, strengthen political, economic and financial reforms, improve the business climate and reduce social inequality between regions, in order to achieve better economic growth. Algeria has the triple leverage of energy, mining and agriculture to contribute, in the long term, to containing the supply crises in energy, rare earths (minerals useful for technology) and food.
Published in 2023, the World Bank's report on the Algerian economy calls for the acceleration of institutional and micro-economic reforms, and paints a positive picture for the country's economy. The World Bank notes that the promulgation in 2022 of the new investment law and the publication of its implementing regulations, the abolition in 2020 of the 51/49 rule for non-strategic sectors, and the publication of the new hydrocarbons law in 2019 are positive steps, but must tackle the ecosystem, including paralyzing bureaucracy, with greater visibility in socio-economic policy.
Continued implementation of government structural reform programs, creating greater openness to the private sector, improving the economy’s competitiveness, and strengthening investment in human capital are all essential to the flourishing and resilience of the Algerian economy.[21]
Historical trends
The total imports and exports on the eve of the French invasion (in 1830) did not exceed £175,000. By 1850, the figures had reached £5,000,000; in 1868, £12,000,000; in 1880, £17,000,000; and in 1890, £20,000,000. From this point progress was slower and the figures varied considerably year by year. In 1905 the total value of the foreign trade was £24,500,000. About five-sixths of the trade is with or via France, into which country several Algerian goods have been admitted duty-free since 1851, and all since 1867. French goods, except sugar, have been admitted into Algeria without payment of duty since 1835. After the 1892 increase of the French minimum tariff which applied to Algeria for the first time, foreign trade greatly diminished.[citation needed]
GDP per capita grew 40% in the 1960s, reaching a peak growth of 538% in the 1970s.[22] Growth collapsed to 9.7% in the turbulent 1980s. Failure of timely reforms by successive governments caused the current GDP per capita to shrink by 28% in the 1990s.
This is a chart of trend of gross domestic product of Algeria at market prices estimated by the International Monetary Fund.
Year
Gross Domestic Product million Algerian dinars
US Dollar Exchange Algerian dinars
Inflation Index (2000=100)
Per Capita Income (as% of USA)
1980
162,500
3.83
9.30
18.51
1985
291,600
4.77
14
15.55
1990
554,400
12.19
22
10.65
1995
2,004,990
47.66
73
5.39
2000
4,123,514
75.31
100
5.17
2005
7,493,000
73.44
114
7.43
For purchasing power parity comparisons, the US dollar is exchanged at 70.01 Algerian dinars only (updated May 24, 2007). Average wages in 2007 hover around US$18–22 per day.
Burdened with a heavy foreign debt, Algiers concluded a one-year standby arrangement with the International Monetary Fund in April 1994 and the following year signed onto a three-year extended fund facility which ended 30 April 1998. In March 2006, Russia agreed to erase $4.74 billion of Algeria's Soviet-era debt during a visit by President Vladimir Putin to the country, the first by a Russian leader in half a century. In return, president Abdelaziz Bouteflika agreed to buy $7.5 billion worth of combat planes, air-defence systems and other arms from Russia, according to the head of Russia's state arms exporter Rosoboronexport.[23][24]
Some progress on economic reform, Paris Clubdebt reschedulings in 1995 and 1996, and oil and gas sector expansion contributed to a recovery in growth since 1995, reducing inflation to approximately 1% and narrowing the budget deficit. Algeria's economy has grown at about 4% annually since 1999. The country's foreign debt has fallen from a high of $28 billion in 1999 to its current level of $5 billion. The spike in oil prices in 1999–2000 and the government's tight fiscal policy, as well as a large increase in the trade surplus and the near tripling of foreign exchange reserves has helped the country's finances. However, an ongoing drought, the after effects of the floods of 10 November 2001 and an uncertain oil market made prospects for 2002-03 more problematic. The government has pledged to continue its efforts to diversify the economy by attracting foreign and domestic investment outside the energy sector.
President Bouteflika has announced sweeping economic reforms, which, if implemented, will significantly restructure the economy. Still, the economy remains heavily dependent on volatile oil and gas revenues. The government has continued efforts to diversify the economy by attracting foreign and domestic investment outside the energy sector, but has had little success in reducing high unemployment and improving living standards. Other priority areas include banking reform, improving the investment environment, and reducing government bureaucracy.
The government has announced plans to sell off state enterprises: sales of a national cement factory and steel plant have been completed and other industries are up for offer. In 2001, Algeria signed an Association Agreement with the European Union. In June 1987, Algeria started accession negotiations for entry into the World Trade Organization, but negotiations ceased in 2014.
In the 2000s the country enjoyed several years of strong economic performance, with solid non-hydrocarbon growth, low inflation, an overall budget surplus and a positive trade balance.
Data
GDP
In 2023 Algeria's nominal GDP is estimated to be US$224.10 billion. Using purchasing power parity, estimated GDP was US$628.99 billion, or US$13,680 on a per capita basis. The estimated real growth rate is 2.6%, down from 3.4% in 2022.[3] In 2017 industry accounted for 39.3%% of GDP, services constituted 47.4%, and agriculture provided the remaining 13.3%.[4]
After having virtually eliminated external debt before 2013, the drop hydrocarbon prices and revenues has led to a large budget deficit which has been only partly offset by spending cuts. Consequently, government debt has increased to more than 30% of GDP.[25] Inflation has remained at 3-6% on average for 2013–17. However, the economy remains highly dependent on hydrocarbons, which represent 89% of total exports;[14] a continued slowdown of global energy demand has significantly put pressure on Algeria's fiscal and external positions.[26]
Government budget
In 2007, government revenues of US$58.5 billion exceeded expenditures of US$41.4 billion. Receipts from the hydrocarbons industry usually account for roughly 60% of revenues.[27]
Development of macroeconomic indicators
The following table shows the main economic indicators in 1980–2023. Inflation under 5% is in green.[28]
Year
GDP (in billion US$ PPP)
GDP per capita (in US$ PPP)
GDP (in bn. US$ nominal)
GDP growth (real)
Inflation rate (in Percent)
Unemployment (in Percent)
Government debt (in% of GDP)
1980
89.7
4,808
42.3
−5.4%
9.7%
15.8%
n/a
1981
101.2
5,257
44.4
3.0%
14.6%
15.4%
n/a
1982
114.3
5,755
44.8
6.4%
6.7%
15.0%
n/a
1983
125.2
6,103
47.5
5.4%
7.8%
14.3%
n/a
1984
137.0
6,469
51.5
5.6%
6.3%
16.5%
n/a
1985
149.2
6,722
61.1
5.6%
10.4%
16.9%
n/a
1986
151.9
6,664
61.5
−0.2%
14.0%
18.4%
n/a
1987
154.6
6,607
63.3
−0.7%
5.8%
20.1%
n/a
1988
157.0
6,515
51.7
−1.9%
5.9%
21.8%
n/a
1989
171.0
6,923
52.6
4.8%
9.2%
18.1%
n/a
1990
178.8
7,146
61.9
0.8%
9.3%
19.8%
n/a
1991
182.6
7,123
46.7
−1.2%
25.9%
20.3%
77.8%
1992
189.8
7,225
49.2
1.6%
31.7%
21.4%
62.9%
1993
190.2
7,073
51.0
−2.1%
20.5%
23.2%
74.0%
1994
192.5
7,002
42.4
−0.9%
29.0%
24.4%
98.4%
1995
204.1
7,275
42.1
3.8%
29.8%
28.1%
116.2%
1996
215.8
7,553
46.9
3.8%
18.7%
28.0%
98.1%
1997
221.9
7,639
48.2
1.1%
5.7%
28.0%
69.9%
1998
235.8
7,993
48.2
5.1%
5.0%
28.0%
72.9%
1999
246.8
8,237
48.8
3.2%
2.6%
29.3%
82.0%
2000
262.0
8,588
54.7
3.8%
0.3%
29.5%
62.8%
2001
275.9
8,914
54.7
3.0%
4.2%
27.3%
54.3%
2002
295.9
9,420
56.8
5.6%
1.4%
25.7%
51.3%
2003
323.5
10,146
67.9
7.2%
4.3%
23.7%
42.1%
2004
346.5
10,705
85.3
4.3%
4.0%
17.7%
35.2%
2005
378.4
11,518
103.2
5.9%
1.4%
15.3%
26.3%
2006
396.7
11,894
117.0
1.7%
2.3%
12.5%
23.6%
2007
421.1
12,438
135.0
3.4%
3.7%
13.8%
13.5%
2008
439.3
12,702
171.0
2.4%
4.9%
11.3%
8.0%
2009
449.4
12,741
137.2
1.6%
5.7%
10.2%
9.8%
2010
471.2
13,097
161.2
3.6%
3.9%
10.0%
10.5%
2011
494.9
13,480
200.0
2.8%
4.5%
10.0%
9.3%
2012
497.3
13,264
209.1
3.9%
8.9%
11.0%
9.3%
2013
498.0
13,003
209.8
2.8%
3.3%
9.8%
7.6%
2014
506.1
12,940
213.8
3.8%
2.9%
10.6%
7.7%
2015
477.3
11,945
166.0
3.7%
4.8%
11.2%
8.8%
2016
471.3
11,543
160.0
3.3%
6.4%
10.5%
20.5%
2017
478.1
11,459
167.5
1.4%
5.6%
11.7%
27.2%
2018
495.4
11,636
174.9
1.2%
4.2%
11.7%
38.4%
2019
509.4
11,730
171.7
1.0%
2.0%
11.7%
46.0%
2020
489.7
11,167
145.7
−5.1%
2.4%
11.4%
52.0%
2021
529.1
11,869
163.1
3.4%
7.2%
n/a
62.8%
2022
584.3
12,900
195.1
3.2%
9.3%
n/a
55.6%
2023
629.0
13,682
224.1
3.8%
9.0%
n/a
55.1%
Public and private sectors
Algeria's economy includes a significant public sector built up under a policy of import substitution industrialization which remained intact after other developing nations liberalised their economies under the influence of structural adjustment programmes advocated by the World Bank and the International Monetary Fund towards the end of the 20th century. As of 2019, this sector consisted of 400 publicly owned firms, and generates a third of the state's revenue. Although economic liberalisation has advocates in Algeria, in 2018 froze all plans to pursue privatisation.[29]
In addition, the social safety net in Algeria is stronger than in other countries in the region: it saw periods of expansion in the 1970s, and in the 2000s, helping to build stability after the Civil War. It is supplemented by consumer subsidies. These measures allow for wages to be kept low.[29]
The restrictive political economy in Algeria and continued adherence to the ISI model has limited foreign direct investment in the country: Algeria has one of the lowest levels of FDI in Africa. However, local businesses have benefited from the state undertaking public works projects in the construction of roads, ports, dams and housing. Both fixed capital formation and credit extended to the private sector increased during the 2010s.[29]
Algeria's agricultural sector, which contributes about 8 percent of gross domestic product (GDP) but employs 14 percent of the workforce, is unable to meet the food needs of the country's population. As a result, some 45 percent of food is imported. The primary crops are wheat, barley, and potatoes. Farmers also have had success growing dates for export. Cultivation is concentrated in the fertile coastal plain of the Tell region, which represents just a slice of Algeria's total territory. Altogether, only about 3 percent of Algerian territory is arable. Even in the Tell, rainfall variability has a significant impact on production. Government efforts to stimulate farming in the less arable steppe and desert regions have met with limited success. However, herdsmen maintain livestock, specifically cow and sheep in the High Plateaus region.[30]
Algeria's climate and periodic wildfires are not conducive to a thriving forestry industry. However, Algeria is a producer of cork and Aleppo pine. In 2005 roundwood removals totaled 7.8 million cubic meters, while sawnwood production amounted to only 13 million cubic meters per year.[31]
In 2018, Algeria produced:
4.6 million tonnes of potato (17th largest producer in the world);
111 thousand tons of plum (20th largest producer in the world);
109 thousand tons of fig (4th largest producer in the world, second only to Turkey, Egypt and Morocco);
In addition to smaller productions of other agricultural products.[32]
Fishing
Algeria's fishing industry does not take full advantage of the Mediterranean coast, in part because fishing is generally done from small family-owned boats instead of large commercial fishing trawlers. However, the government is attempting to boost the relatively small catch—slightly more than 125,000 metric tons in 2005—by modernizing fishing ports, permitting foreigners to fish in Algerian waters, and subsidizing fishing-related projects.[31]
Fishing is a flourishing but minor industry. Fish caught are principally sardines, bonito, mackerel, smelt and sprats. Fresh fish are exported to France, dried and preserved fish to Spain and Italy. Coral fisheries are found along the coast from Bona to Tunis. The annual catch averages around 142,000 tons, 54% sardines.
Algeria is rich in minerals; the country has many iron, lead, zinc, copper, calamine, antimony and mercury mines. The most productive are those of iron and zinc. Lignite is found in Algiers; immense phosphate beds were discovered near Tébessa in 1891, yielding 313,500 tons in 1905. Phosphate beds are also worked near Sétif, Guelma and Aïn Beïda. There are more than 300 quarries which produce, amongst other stones, onyx and white and red marbles. Algerian onyx from Ain Tekbalet was used by the Romans, and many ancient quarries have been found near Sidi Ben Yebka, some being certainly those from which the long-lost Numidian marbles were taken. Salt is collected on the margins of the chotts.
In 2019, the country was the 17th largest world producer of gypsum,[33] and the 19th largest world producer of phosphate.[34]
Algeria's banking sector is dominated by public banks, which suffer from high levels of non-performing loans to state-owned enterprises (SOEs). As of 2007, public banks controlled 95 percent of total bank assets. In 2007 nonperforming loans represented a towering 38 percent of total loans at public banks, according to International Monetary Fund (IMF) estimates. Modest progress has been made in implementing several reforms proposed by the IMF, including replacing bank credits to SOEs with government subsidies; boosting bank supervision, accountability, and transparency; and modernizing the payments system. One specific reform that has been achieved is the establishment in 2006 of the Algerian Real Time Settlements system, which facilitates the prompt and reliable electronic transfer of payments. In November 2007, the proposed sale and privatization of Crédit Populaire d’Algérie was postponed because of turbulent market conditions. Recently, HSBC and Deutsche Bank announced that they would commence commercial banking (in the case of HSBC) and investment banking (in the case of Deutsche Bank) in Algeria. Only a few companies are listed on the underdeveloped and relatively opaque Algiers stock exchange.[31] The non-bank sector remains less developed, although recent reforms in the field of regulation and supervision have laid the foundations for leasing, factoring, and venture capital.
The Algerian equity market remains relatively shallow, with only four companies being listed in the Bourse d’Algerie. Conversely, the bond market has expanded in recent years: the government has issued debt instruments with varying maturities of up to fifteen years, and five private companies have issued corporate bonds.
The insurance sector was liberalized in 1995, but is still dominated by government-owned institutions and so far accounts only for a very small part of the economy: total premium volume amounted to approximately 1 percent of GDP. The pension sector encompasses three pension funds, which attained coverage of approximately 40 percent of the working population in 2005.
Based on 2006 and 2007 estimates, 31 percent of the total population has access to financial services, with one bank branch or post office every 7,250 inhabitants. The microfinance sector still has great potential for further development. A 2006 study could not find major regulatory impediments to microfinance and suggested that the geographical net of postal offices – offering an increasing number of financial services to customers – holds a high potential of increasing access to finance for the Algerian population.
Official remittance inflows increased steadily from US$1.9 to 2.9 billion between 2005 and 2007.[26]
Algeria's tourism industry, which contributes only about 1 percent of GDP, lags behind that of its neighbors Morocco and Tunisia. Algeria receives only about 200,000 tourists and visitors annually. Ethnic Algerian French citizens represent the largest group of tourists, followed by Tunisians. The modest level of tourism is attributable to a combination of poor hotel accommodations and the threat of terrorism. However, the government has adopted a plan known as “Horizon 2025,” which is designed to address these shortcomings.[35] Various hotel operators are planning to build hotels, particularly along the Mediterranean coast. Another opportunity involves adventure holidays in the Sahara (which comprises approximately 80% of the country's land area).[36] In addition to potential ecotourism, the country boasts many cultural and historical sites, seven of which are UNESCO World Heritage Sites. The Algerian government set the goal of boosting the number of foreign visitors, including tourists, to 10 million by 2030.[31]
Algeria has many diversified industries that contribute to meet local demands and some times to exportation. The food industry is one of the largest industrial sector in Algeria. Private companies generally dominate the food sector in Algeria with large companies such as Cevital, La Belle, Groupe Bimo, Hamoud Boualam, Ifri, Général Emballage.
The pharmaceutical industry is also present in Algeria, with the domination of state-owned company Saidal, as well as other small private companies. The local pharmaceutical industry covers 38% of local needs.
The mechanical industry has existed in Algeria for a long time, with the state-owned company SNVI (Société Nationale des Véhicules Industriels) being the largest producer of buses and industrial vehicles in the region. These vehicles are exported to the Maghreb, Africa, and the Middle East. Mercedes-Benz has also invested in Algeria in cooperation with a state-owned company to produce industrial and military vehicles. Deutz AG also invested to produce agricultural utilities.
In the electric and electronic industry, Algeria has made a great leap in the field compared to its neighbours. The Algerian region Bordj-Bou-Arreridj is the biggest electronic pole in Africa, local companies cover 83% of it needs and export other products, Algeria started producing some 100% home made electronic product including smartphones, tablets, TV, TV decoders, air conditioning products ..., at least 16 big companies are active in the field, some of the companies are: Bya Electronic, HB Technologies, ZALA Computer, Cristor, Condor, Cobra, Continental électronique, Essalem Electronics, Samha, FRIGOR, BMS Electric, Bomare Company, etc.
In December 2023 Italian carmaker Fiat has announced that it has opened its first manufacturing plant in Tafraoui, Algeria.[37]
Currency, exchange rate, and inflation
Algeria's currency is the Algerian dinar (DZD). The dinar is loosely linked to the U.S. dollar in a managed float. Algeria's main export, crude oil, is priced in dollars, while most of Algeria's imports are priced in euros. Therefore, the government endeavors to manage fluctuations in the value of the dinar. As of April 2008, US$1 was equivalent to about DZD 64.6.[38]
Algeria's foreign currency reserves have grown rapidly since 2000, reflecting rising prices for exported oil. At the end of 2007, foreign reserves totaled US$99.3 billion, up from US$12 billion in 2000 and the equivalent of almost four years of imports.[38] In 2007 the estimated inflation rate was 4.6 percent.[27]
In 2010, the IMF voiced concerns about poor management of Algeria's monetary system and inflation.[39]
In April 2014, a report focusing on world economic projections was published by the IMF, according to which it was predicted that, in 2015, Algeria's economic growth would fall by 1.5%, while unemployment would rise by 1.2%.[40]
The largest employer is government, which claims 32 percent of the workforce. Even though industry is a much larger part of the economy than agriculture, agriculture employs slightly more people (14 percent of the workforce) than industry (13.4 percent of the workforce). One of the reasons for this disparity is that the energy sector is very capital-intensive. Trade accounts for 14.6 percent of the workforce, while the construction and public works sector employs 10 percent, reflecting the government's efforts to upgrade the country's infrastructure and stock of affordable housing.[41]
Unemployment has remained at levels around 10% since 2010 but is significantly higher for youth (24.8%) and women (16.3%)[42]
At the end of 2006, the unemployment rate was about 15.7 percent, but the rate among those under the age of 25 was 70 percent. In 2005 the labor participation rate was only 52 percent, versus an Organisation for Economic Co-operation and Development average of 70 percent. New entrants to the workforce and the lack of emigration options make unemployment a chronic problem and an important challenge to the government. Given its highly capital-intensive nature, the hydrocarbons industry is not in a position to employ many job seekers.[41]
International trade and investment
Algeria is seeking more trade and foreign investment. For example, the hydrocarbons law passed in April 2005 is designed to encourage foreign investment in energy exploration. Increased production could raise Algeria's profile as a member of the Organization of the Petroleum Exporting Countries. In keeping with its pro-trade agenda, Algeria achieved association status with the European Union (EU) in September 2005. Over a 12-year period, the association agreement is expected to enable Algeria to export goods to the EU tariff-free, while it gradually lifts tariffs on imports from the EU. Algeria has signed bilateral investment agreements with 20 different nations, including many European countries, China, Egypt, Malaysia, and Yemen. In July 2001, the United States and Algeria agreed on a framework for discussions leading to such an agreement, but a final treaty has not yet been negotiated. Ultimately, trade liberalization, customs modernization, deregulation, and banking reform are designed to improve the country's negotiating position as it seeks accession to the World Trade Organization.[43]
In 2007 Algerian imports totaled US$26.08 billion. The principal imports were capital goods, foodstuffs, and consumer goods. The top import partners were France (22 percent), Italy (8.6 percent), China (8.5 percent), Germany (5.9 percent), Spain (5.9 percent), the United States (4.8 percent), and Turkey (4.5 percent). In 2007 Algeria exported US$63.3 billion, more than twice as much as it imported. Exports accounted for 30 percent of gross domestic product (GDP). Hydrocarbon products constituted at least 95 percent of export earnings. The principal exports were petroleum, natural gas, and petroleum products. The top export partners were the United States (27.2 percent), Italy (17 percent), Spain (9.7 percent), France (8.8 percent), Canada (8.1 percent), and Belgium (4.3 percent). Algeria supplies 25 percent of the European Union's natural gas imports. In 2007 Algeria posted a positive merchandise trade balance of US$37.2 billion. In 2007 Algeria achieved a positive current account balance of US$31.5 billion. High prices for Algeria's energy exports are the main driver for the improvement in the current account balance.[43]
Algeria's trade surplus for 2010 rose to over $83.14 billion. The Algerian Centre for Information and Statistics Directorate of the Algerian Customs attribute this increase from the previous year to higher fuel revenue due to higher prices for a barrel of oil, and a slight decrease in imports of consumer non-food materials. The center said that Algerian exports rose by 78.26% during the period from January to November 2010 from $27.51 billion to $44.4 billion during the same period in 2009. Imports grew by 89.1% from $43.36 billion to $76.35 billion between 2009 and 2010.[44]
Reflecting strong oil export revenues, external debt is on a downward trajectory. For example, these revenues facilitated early repayments of US$900 million in loans from the African Development Bank and Saudi Arabia. In March 2006, Algeria's purchase of 78 aircraft from Russia led to the cancellation of Algeria's entire debt to Russia. In 2006 external debt was estimated at US$4.4 billion, down from US$23.5 billion in 2003.[43]
In 2006 foreign direct investment (FDI) in Algeria totaled US$1.8 billion. The petrochemical, transport, and utilities sectors have been recent beneficiaries of FDI. FDI into the oil sector was expected to rise as a result of a hydrocarbons law, approved in April 2005, that created a more even playing field for foreign oil companies to compete with Algeria's state-owned oil company, Sonatrach, for exploration and production contracts. Algeria also is seeking foreign investment in power and water systems.[43]
As of August 2006, cumulative World Bank assistance to Algeria totaled US$5.9 billion, encompassing 72 projects. Currently, the World Bank is pursuing seven projects, specifically budget modernization, mortgage finance, natural disaster recovery, energy and mining, rural employment, telecommunications, and transportation. In 2005 economic assistance to Algeria from the United States amounted to US$4.4 million, most of which was attributable to the Middle East Partnership Initiative (MEPI) and the remainder to International Military Education and Training (IMET). MEPI encourages economic, political, and educational reform in the Middle East. In 2006 IMET, which provides U.S. military training to foreign troops, had a budget of US$823 million. In 2005 the European Union contributed US$58 million to Algeria's economic development under the Euro-Mediterranean Partnership.[38]
The economy of Angola remains heavily influenced by the effects of four decades of conflict in the last part of the 20th century, the war for independence from Portugal (1961–75) and the subsequent civil war (1975–2002). Poverty since 2002 is reduced over 50% and a third of the population relies on subsistence agriculture. Since 2002, when the 27-year civil war ended, government policy prioritized the repair and improvement of infrastructure and strengthening of political and social institutions. During the first decade of the 21st century, Angola's economy was one of the fastest-growing in the world, with reported annual average GDP growth of 11.1 percent from 2001 to 2010. High international oil prices and rising oil production contributed to strong economic growth, although with high inequality, at that time. 2022 trade surplus was $30 billion, compared to $48 billion in 2012.
The economy of Colombia is the fourth largest in Latin America as measured by gross domestic product and the third-largest economy in South America. Colombia has experienced a historic economic boom over the last decade. Throughout most of the 20th century, Colombia was Latin America's 4th and 3rd largest economy when measured by nominal GDP, real GDP, GDP (PPP), and real GDP at chained PPPs. Between 2012 and 2014, it became the third largest in Latin America by nominal GDP. As of 2024, the GDP (PPP) per capita has increased to over US$19,000, and real gross domestic product at chained PPPs increased from US$250 billion in 1990 to nearly US$800 billion. Poverty levels were as high as 65% in 1990, but decreased to under 30% by 2014, and 27% by 2018. They decreased by an average of 1.35% per year since 1990.
The economy of the Dominican Republic is the seventh largest in Latin America, and is the largest in the Caribbean and Central American region. The Dominican Republic is an upper-middle income developing country with important sectors including mining, tourism, manufacturing, energy, real estate, infrastructure, telecommunications and agriculture. The Dominican Republic is on track to achieve its goal of becoming a high-income country by 2030, and is expected to grow 79% in this decade. The country is the site of the single largest gold mine in Latin America, the Pueblo Viejo mine. Although the service sector is currently the leading employer of Dominicans, agriculture remains an important sector in terms of the domestic market and is in second place in terms of export earnings. Tourism accounts for more than $7.4 billion in annual earnings in 2019. Free-trade zone earnings and tourism are the fastest-growing export sectors. A leading growth engine in the Free-trade zone sector is the production of medical equipment for export having a value-added per employee of US$20,000, total revenue of US$1.5 billion, and a growth rate of 7.7% in 2019. The medical instrument export sector represents one of the highest-value added sectors of the country's economy, a true growth engine for the country's emerging market. Remittances are an important sector of the economy, contributing US$8.2 billion in 2020. Most of these funds are used to cover household expenses, such as housing, food, clothing, health care and education. Secondarily, remittances have financed businesses and productive activities. Thirdly, this combined effect has induced investment by the private sector and helps fund the public sector through its value-added tax. The combined import market including the free-trade-zones amounts to a market of $20 billion a year in 2019. The combined export sector had revenues totaling $11 billion in 2019. The consumer market is equivalent to $61 billion in 2019. An important indicator is the average commercial loan interest rate, which directs short-term investment and stimulates long-term investment in the economy. It is currently 8.30%, as of June 2021.
The economy of Ecuador is the eighth largest in Latin America and the 69th largest in the world by total GDP. Ecuador's economy is based on the export of oil, bananas, shrimp, gold, other primary agricultural products and money transfers from Ecuadorian emigrants employed abroad. In 2017, remittances constituted 2.7% of Ecuador's GDP. The total trade amounted to 42% of the Ecuador's GDP in 2017.
The economy of Ethiopia is a mixed and transition economy with a large public sector. The government of Ethiopia is in the process of privatizing many of the state-owned businesses and moving toward a market economy. The banking, telecommunication and transportation sectors of the economy are dominated by government-owned companies.
The economy of Honduras is based mostly on agriculture, which accounts for 14% of its gross domestic product (GDP) in 2013. The country's leading export is coffee (US$340 million), which accounted for 22% of the total Honduran export revenues. Bananas, formerly the country's second-largest export until being virtually wiped out by 1998's Hurricane Mitch, recovered in 2000 to 57% of pre-Mitch levels. Cultivated shrimp is another important export sector. Since the late 1970s, towns in the north began industrial production through maquiladoras, especially in San Pedro Sula and Puerto Cortés.
The economy of Kyrgyzstan is heavily dependent on the agricultural sector. Cotton, tobacco, wool, and meat are the main agricultural products, although only tobacco and cotton are exported in any quantity. According to Healy Consultants, Kyrgyzstan's economy relies heavily on the strength of industrial exports, with plentiful reserves of gold, mercury and uranium. The economy also relies heavily on remittances from foreign workers. Following independence, Kyrgyzstan was progressive in carrying out market reforms, such as an improved regulatory system and land reform. In 1998, Kyrgyzstan was the first Commonwealth of Independent States (CIS) country to be accepted into the World Trade Organization. Much of the government's stock in enterprises has been sold. Kyrgyzstan's economic performance has been hindered by widespread corruption, low foreign investment and general regional instability. Despite those issues, Kyrgyzstan is ranked 70th on the ease of doing business index.
The economy of Libya depends primarily on revenues from the petroleum sector, which represents over 95% of export earnings and 60% of GDP. These oil revenues and a small population have given Libya one of the highest nominal per capita GDP in Africa.
The economy of Nicaragua is focused primarily on the agricultural sector. Nicaragua itself is the least developed country in Central America, and the second least developed in the Americas by nominal GDP, behind only Haiti. In recent years, under the administrations of Daniel Ortega, the Nicaraguan economy has expanded somewhat, following the Great Recession, when the country's economy actually contracted by 1.5%, due to decreased export demand in the American and Central American markets, lower commodity prices for key agricultural exports, and low remittance growth. The economy saw 4.5% growth in 2010 thanks to a recovery in export demand and growth in its tourism industry. Nicaragua's economy continues to post growth, with preliminary indicators showing the Nicaraguan economy growing an additional 5% in 2011. Consumer Price inflation have also curtailed since 2008, when Nicaragua's inflation rate hovered at 19.82%. In 2009 and 2010, the country posted lower inflation rates, 3.68% and 5.45%, respectively. Remittances are a major source of income, equivalent to 15% of the country's GDP, which originate primarily from Costa Rica, the United States, and European Union member states. Approximately one million Nicaraguans contribute to the remittance sector of the economy.
The economy of Paraguay is a market economy that is highly dependent on agriculture products. In recent years, Paraguay's economy has grown as a result of increased agricultural exports, especially soybeans. Paraguay has the economic advantages of a young population and vast hydroelectric power. Its disadvantages include the few available mineral resources, and political instability. The government welcomes foreign investment.
The economy of Seychelles is based on fishing, tourism, processing of coconuts and vanilla, coir rope, boat building, printing, furniture and beverages. Agricultural products include cinnamon, sweet potatoes, cassava (tapioca), bananas, poultry and tuna.
The economy of Tanzania is a lower-middle income economy that is centered around Manufacturing, Tourism, Agriculture, and financial services. Tanzania's economy has been transitioning from a planned economy to a market economy since 1985. Although total GDP has increased since these reforms began, GDP per capita dropped sharply at first, and only exceeded the pre-transition figure in around 2007.
The economy of Ukraine is a developing, upper-middle income, mixed economy. It grew rapidly from 2000 until 2008 when the Great Recession began worldwide and reached Ukraine. The economy recovered in 2010 and continued improving until 2013. The Russian incursion in Ukraine caused a severe economic decline from 2014 to 2015, with the country's gross domestic product in 2015 barely surpassing half of what it was in 2013. In 2016, the economy again started to grow. By 2018, the Ukrainian economy was growing rapidly, and reached almost 80% of its size in 2008.
The economy of Vietnam is a developing mixed socialist-oriented market economy. It is the 33rd-largest economy in the world by nominal gross domestic product (GDP) and the 26th-largest economy in the world by purchasing power parity (PPP). It is a lower-middle income country with a low cost of living. Vietnam is a member of the Asia-Pacific Economic Cooperation, the Association of Southeast Asian Nations and the World Trade Organization.
The economy of Yemen has significantly weakened since the breakout of the Yemeni Civil War and the humanitarian crisis, which has caused instability, escalating hostilities, and flooding in the region. At the time of unification, South Yemen and North Yemen had vastly different but equally struggling underdeveloped economic systems. Since unification, the economy has been forced to sustain the consequences of Yemen's support for Iraq during the 1990–91 Persian Gulf War: Saudi Arabia expelled almost 1 million Yemeni workers, and both Saudi Arabia and Kuwait significantly reduced economic aid to Yemen. The 1994 civil war further drained Yemen's economy. As a consequence, Yemen has relied heavily on aid from multilateral agencies to sustain its economy for the past 24 years. In return, it has pledged to implement significant economic reforms. In 1997 the International Monetary Fund (IMF) approved two programs to increase Yemen's credit significantly: the enhanced structural adjustment facility and the extended funding facility (EFF). In the ensuing years, Yemen's government attempted to implement recommended reforms: reducing the civil service payroll, eliminating diesel and other subsidies, lowering defense spending, introducing a general sales tax, and privatizing state-run industries. However, limited progress led the IMF to suspend funding between 1999 and 2001.
The economy of Tunisia is in the process of being liberalized after decades of heavy state direction and participation in the country's economy. Prudent economic and fiscal planning has resulted in moderate but sustained growth for over a decade. Tunisia's economic growth historically has depended on oil, phosphates, agri-food products, car parts manufacturing, and tourism. In the World Economic Forum Global Competitiveness Report for 2015–2016, Tunisia ranks in 92nd place.
The economy of Guyana is one of the fastest growing economies in the world with a gross domestic product (GDP) growth of 19.9% in 2021. In 2024, Guyana had a per capita gross domestic product of Int$80,137 and an average GDP growth of 4.2% over the previous decade. Guyana's economy was transformed in 2015 with the discovery of an offshore oil field in the country's waters about 190 km from Georgetown, making the first commercial-grade crude oil draw in December 2019, sending it abroad for refining.
The economy of Mozambique is $14.396 billion by gross domestic product as of 2018, and has developed since the end of the Mozambican Civil War (1977–1992). In 1987, the government embarked on a series of macroeconomic reforms, which were designed to stabilize the economy. These steps, combined with donor assistance and with political stability since the multi-party elections in 1994, have led to dramatic improvements in the country's growth rate. Inflation was brought to single digits during the late 1990s, although it returned to double digits in 2000–02. Fiscal reforms, including the introduction of a value-added tax and reform of the customs service, have improved the government's revenue collection abilities.
The economy of Bolivia is the 95th-largest in the world in nominal terms and the 87th-largest in purchasing power parity. Bolivia is classified by the World Bank to be a lower middle income country. With a Human Development Index of 0.703, it is ranked 114th. Driven largely by its natural resources, Bolivia has become a region leader in measures of economic growth, fiscal stability and foreign reserves, although it remains a historically poor country. The Bolivian economy has had a historic single-commodity focus. From silver to tin to coca, Bolivia has enjoyed only occasional periods of economic diversification. Political instability and difficult topography have constrained efforts to modernize the agricultural sector. Similarly, relatively low population growth coupled with low life expectancy has kept the labor supply in flux and prevented industries from flourishing. Rampant inflation and corruption previously created development challenges, but in the early twenty-first century the fundamentals of its economy showed unexpected improvement, leading Moody's Investors Service to upgrade Bolivia's economic rating in 2010 from B2 to B1. The mining industry, especially the extraction of natural gas and zinc, currently dominates Bolivia's export economy.
The economy of Ivory Coast is stable and currently growing, in the aftermath of political instability in recent decades. The Ivory Coast's economy is largely market-based and depends heavily on the agricultural sector. Almost 70% of the Ivorian people are engaged in some form of agricultural activity. The economy grew 82% in the 1960s, reaching a peak growth of 360% in the 1970s, but this proved unsustainable and it shrank by 28% in the 1980s and a further 22% in the 1990s. This decline, coupled with high population growth, resulted in a steady fall in living standards. The gross national product per capita, now rising again, was about US$727 in 1996. It was substantially higher two decades before. Real GDP growth is expected to average 6.5% in 2024–25.
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46,278,751 (2024 est.) [3] 
5.4% (2019) [3] 
$5.28 billion (2023 est.) [3] 
