ilization
and to introduce market mechanisms into the economy. Despite
substantial progress toward economic adjustment, in 1992 the reform
drive stalled as Algiers became embroiled in political turmoil. In
September 1993, a new government was formed, and one priority was the
resumption and acceleration of the structural adjustment process.
Burdened with a heavy foreign debt, Algiers concluded a one-year
standby arrangement with the IMF in April 1994 and the following year
signed onto a three-year extended fund facility. Progress on economic
reform, a Paris Club debt rescheduling in 1995, and oil and gas sector
expansion have contributed to a recovery since 1995. Investments in
developing hydrocarbon resources are likely to maintain growth and
export earnings. Continuing but gradual government efforts to attract
foreign and domestic investment outside that sector seek to diversify
the economy and tackle problems of high unemployment and falling
living standards, problems as yet untouched by the macroeconomic
turnaround.

GDP: purchasing power parity-$120.4 billion (1997 est.)

GDP-real growth rate: 2.5% (1997 est.)

GDP-per capita: purchasing power parity-$4,000 (1997 est.)

GDP-composition by sector:
agriculture: 12%
industry: 50%
services: 38% (1995 est.)

Inflation rate-consumer price index: 7% (1997 est.)

Labor force:
total: 7.8 million (1996 est.)
by occupation: government 29.5%, agriculture 22%, construction and
public works 16.2%, industry 13.6%, commerce and services 13.5%,
transportation and communication 5.2% (1989)

Unemployment rate: 28% (1997 est.)

Budget:
revenues: $13.7 billion
expenditures: $13.1 billion, including capital expenditures of $5.1
million (1996 est.)

Industries: petroleum, natural gas, light industries, mining,
electrical, petrochemical, food processing

Industrial production growth rate: NA%

Electricity-capacity: 6.007 million kW (1995)

Electricity-production: 19.1 billion kWh (1995)

Electricity-consumption per capita: 630 kWh (1995)

Agriculture-products: wheat, barley, oats, grapes, olives, citrus,
fruits; sheep, cattle

Exports:
total value: $13.1 billion (f.o.b., 1997 est.)
commodities: petroleum and natural gas 97%
partners: Italy 18.8%, US 14.8%, France 11.8%, Spain 8%, Germany 7.9%
(1995 est.)

Imports:
total value: $10 billion (f.o.b., 1997 est.)
commodities: capital goods, food and beverages, consumer goods
partners: France 29%, Spain 10.5%, Italy