Algeria is a country located in North Africa. It is bordered by Tunisia to the northeast, Libya to the east, Niger to the southeast, Mali and Mauritania to the southwest, and the Mediterranean Sea to the north and west. Its capital and largest city is Algiers. The official language is Arabic and the official currency is the Algerian dinar. The country has a population of over 42 million people and the government is a semi-presidential republic. Algeria is a member of the United Nations, the African Union, and the Arab League. The country is known for its rich history and cultural heritage, as well as its natural resources, including oil and natural gas.
The economy of Algeria is primarily based on its extensive hydrocarbon resources, which account for the majority of government revenues, exports, and economic activity. The country is the 10th-largest oil producer in the world and the second-largest gas producer in Africa. The oil and gas sector accounts for about 60% of the country's budget revenues, 30% of its GDP, and over 95% of its export earnings.
Algeria's economy is heavily centralized and state-controlled. The government plays a dominant role in the economy and is the primary employer, with the public sector accounting for more than 50% of the workforce.
Despite its vast hydrocarbon resources, the country has struggled to diversify its economy, and the private sector is relatively small and underdeveloped. The high dependence on oil and gas has made the economy vulnerable to fluctuations in global energy prices.
In recent years, the Algerian government has attempted to diversify the economy by encouraging foreign investment and promoting the development of non-hydrocarbon sectors, such as agriculture, industry, and services. However, the country still faces significant challenges, including a high unemployment rate, a large trade deficit, and a shortage of foreign currency.
Algeria is ranked as the second-worst country in Africa to do business by World Bank, due to the country's bureaucratic and legal obstacles, lack of transparency and corruption.
