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Showing posts with the label ECONOMY

Gara Djebilet and the Southwest Railway Line: Why is this dual Algerian launch generating so much emotion and commentary in Morocco?

The dual launch of operations at the Gara Djebilet mine and the 950‑kilometre Tindouf–Béchar railway line has triggered an unusual wave of reactions, emotions, and commentary—far beyond economic and technical circles. This surge is neither random nor exaggerated: it reflects issues of sovereignty, historical memory, regional propaganda, and strategic projection that go far beyond the simple scope of an infrastructure project. 1. A project that cracks an old irredentist narrative For decades, part of the Moroccan propaganda machine —carried by media outlets close to the royal palace—has promoted the idea of an alleged “Moroccan identity” of the Algerian wilayas of Béchar and Tindouf . This narrative deliberately ignores international legal realities, including the 1972 Algeria–Morocco border treaty , which has been ratified, registered, and submitted to the United Nations . Yet Algeria does more than simply assert its rights: it brings them to life on the ground. By investing billions ...

Algerian GDP, international audits, and a Moroccan obsession: when controversy replaces analysis

For several months now, a well‑identified group of Moroccan commentators—among them Rachid Achichi and other self‑proclaimed “experts” in economics and geopolitics—has been devoting disproportionate energy to challenging the way Algeria’s GDP is calculated. This repetitive and often approximate fixation says less about Algeria’s economic reality than about Morocco’s strategic unease in the face of shifting regional power dynamics. 1. Algeria’s GDP: a controlled accounting framework, not a political invention Contrary to the recurring insinuations, Algeria’s GDP is neither improvised data nor an ideological construction. It is established in accordance with the System of National Accounts (SNA), a universal international framework, and is subject to external audits, verifications and validations conducted by international financial institutions. The more accurate integration of the informal economy —common practice in most emerging countries—is a methodological rebasing exercise, not...

Gara Djebilet: Understanding the Real Strategic Stakes Behind Algeria’s Iron Ore Megaproject

The Gara Djebilet iron ore project has, for some commentators, become a convenient symbol of what they portray as Algeria’s inability to execute large‑scale industrial undertakings. Their central argument is now familiar: the high phosphorus content of the ore would make the project economically unviable . This claim, repeated confidently, does not withstand either technical scrutiny or serious economic analysis. It reflects an outdated understanding of modern mining , rather than an informed assessment of the project’s industrial logic. Phosphorus: A Known and Anticipated Technical Challenge — Not a Structural Obstacle It is true that the ore at Gara Djebilet contains a higher phosphorus content than what is typically acceptable in standard steelmaking. However, in contemporary mining, such constraints are neither unusual nor prohibitive. Processes for phosphorus removal — advanced magnetic separation, direct reduction, selective roasting, thermochemical treatments — are well-estab...

Gara Djebilet Mega Project: Why has this initiative become a focal point for Moroccan media? Does Morocco truly have a legitimate claim? And is the 1972 convention genuinely binding upon Algeria?

Since the Algerian government resolved to revive the strategic Gara Djebilet mining project (1), Moroccan media—both official and unofficial—has hastened to seize upon the subject, invoking an alleged “historical right” of Morocco over this deposit. According to the narrative advanced by Rabat, King Hassan II purportedly accepted the demarcation of borders between Morocco and Algeria in exchange for a usufructuary right over the Gara Djebilet mine. Yet, the instruments duly signed and ratified by both States tell an entirely different story (2). This article will revisit that point in detail, with the aim of dismantling Moroccan propaganda designed for domestic consumption—propaganda intended to perpetuate the illusion of a return to a bygone grandeur… which, in truth, never existed. Before addressing Morocco’s assertions, let us first outline the Gara Djebilet mega-project: what does it entail? 1) The Gara Djebilet mega project in a nutshell: The Gara Djebilet mine, located in Algeria...

Energy Sectors Open New Partnership Prospects Between Algeria and the United States

Algerian-American relations are entering a new strategic phase, centered on energy cooperation and the development of vital natural resources. Three key sectors have drawn significant interest from U.S. officials: hydrocarbons, renewable energy, and mining resources. These areas are not only pillars of Algeria’s national sovereignty but also critical to global energy transition efforts and emerging geo-economic dynamics. A High-Level Visit with Strategic Significance The recent meeting in Algiers between Algeria’s Minister of State for Energy, Mines, and Renewable Energies, Mr. Mohamed Arkab , and the U.S. President’s Senior Advisor for Africa, the Middle East, and Arab Affairs, Mr. Masad Boulos , marks an important step forward. The American envoy expressed strong interest in investing in three strategic sectors in Algeria: Hydrocarbons Renewable energy Exploitation of mining resources This is more than diplomatic nicety—it reflects a clear U.S. intention to deepen its economic footpr...

The World Bank Shines a Light on Algeria’s Economic Transformation

On April 18, 2025, the World Bank published an insightful article titled “How Algeria is Shaping its Economic Future” , offering a nuanced yet clearly optimistic perspective on the country’s ongoing economic transformation. Long regarded as a hydrocarbon-dependent, mono-export economy, Algeria now appears to be at a historic crossroads. At the heart of this shift lies an ambitious target set by President Abdelmadjid Tebboune: reaching a Gross Domestic Product of $400 billion by 2027. A Diversification Strategy in Motion The figures released by the World Bank are telling: non-hydrocarbon exports have tripled since 2017, reaching $5.1 billion in 2023. Though they still represent just 2% of GDP, this trend signals a critical shift in Algeria’s economic model, one that is moving away from structural dependence on oil and gas. Among the country’s most exported goods are now fertilizers, steel products, and cement — a reflection of a deliberate strategy rooted in wide-ranging structural r...

The Increase in Algerian Non-Hydrocarbon Exports under President Abdelmadjid Tebboune: Strategies and Achievements (2019-2023)

Under President Abdelmadjid Tebboune, Algeria has recorded a remarkable growth in non-hydrocarbon exports, rising from $700 million in 2019 to $13 billion in 2023. This article examines the strategies and policies implemented by the Algerian government to achieve this ambitious goal. Economic reforms, support measures for exporters, and investments in infrastructure are analyzed in detail. Introduction The Algerian economy has long been dominated by the hydrocarbon sector, representing a substantial portion of the country's exports and revenues. However, under the presidency of Abdelmadjid Tebboune, significant efforts have been made to diversify the economy and increase non-hydrocarbon exports. This article explores the various strategies and actions undertaken by the Algerian government to achieve this goal. 1. Structural and Economic Reforms Diversifying the Algerian economy required major structural and economic reforms. Tebboune implemented several measures to improve the busi...