Algeria concerned about weak dollar
Current US economic policy will have very negative implications on Algeria's trade balance and deficit, according to Algeria's leading French language information source, Algerie-Dz.com.
Algeria is keen to export to the USA but there are fears that the current exchange rates make Algeria's export goods more expensive and therefore less attractive. The dollars descent since May 2003 has put strain on the reserves of the Bank of Algeria. Algeria's main currencies in terms of its foreign debt are the dollar (39%), the Euro (35%) and the Yen (12%).
The Algerian economy is very dependent on the oil industry, which is traded in dollars, and the weak dollar, especially against the Euro, creates a large degree of uncertainty in Algeria's public finances.