With oil prices in the first half of 2016 down 29% year-on-year, Algeria’s trade balance deficit has soared by 27% to $10.83bn over the same period, latest statistics from Algerian Customs show. The government is implementing measures to rein in spending and diversify its economy, but the process looks set to be lengthy.
The value of Algerian exports fell by 33% to $12.68bn in the first half of 2016 from $18.93bn in the corresponding period of 2015. This equates to $25.36bn on an annualized basis, down by 33% on 2015 and 60% of 2014 (see table). Oil and gas export earnings in the first six months of 2016 were down by 33.6% to $11.86bn, while non-hydrocarbon exports fell by 22.6% to $820mn. This fall was expected as these include petrochemicals and other sectors closely linked to oil and gas. (CONTINUED - 699 WORDS)