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A FAVOURABLE INTERNATIONAL SITUATION and good control over macroeconomic aggregates have enabled Algeria to maintain respectable levels of economic growth since 2002; these remain beneath the country's potential, however, particularly in non‐hydrocarbon growth. The continued increase in revenue from hydrocarbons has allowed the country to achieve high investment rates and controlled wage increases, but unemployment remains high, especially amongst young people. The country has been able to discharge most of its external, public and multilateral debt thanks to prepayments. Compared to economies with a similar revenue level, the Algerian economy is still poorly diversified, and the contribution of the private sector to total GDP remains weak.
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Document Type: Review Article

Publication date: May 1, 2008

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