The Algerian economy shrunk by two percent in 2001, following several consecutive years in which the national economy recorded negative growth, indicated a preliminary annual report recently issued by the National Economic and Social Council of Algeria (CNES).
The national think-tank attributed the country’s poor economic performance over the past year mainly to the worldwide oil price slump, which brought down production levels and adversely affected the local oil sector, the mainstay of the Algerian economy.
CNES noted positive developments in the fiscal and monetary balances, confirming macro-financial stability, which has been observed during last two years. Foreign exchange reserves stood at nearly $18 billion by year-end 2001.
The agricultural sector witnessed growth in production levels in 2001, offset by “general unrest” in the industrial sector, the consequence of a “stagnation of reforms”, the report added. — (menareport.com)
© 2002 Mena Report (www.menareport.com)
