Christine Lagarde to visit Algeria next March

The visit of Lagarde, who will be accompanied by the officials of the IMF Middle East and North Africa Department, will allow examining the relations between IMF and Algeria, as member country.

During her three-day visit, IMF Chief is planned to meet several senior officials of economic and financial sectors, the same source added.

In its annual assessments of Algeria economy and its bi-annual reports on the world economic prospects, the IMF has hailed, during these last years, Algeria good performances.

Strong economic performance, reforms needed for diversification

This observation has been reiterated by the Board of Governors, meeting last January during which it examined Algeria economic and financial situation.

While welcoming the strong economic performance that the country continues to record despite an unfavorable international situation, the IMF recommends, however, the preservation of macro-economic stability and the development of a strong non-oil growth.

For the IMF, which bets on 3.4% growth in Algeria in 2013 (against 2.5% in 2012), the stake is to take comprehensive reforms to diversify the economy, improve the business climate, increase productivity and boost growth, especially the industrial one.

Reduce unemployment, develop the potentially exporting sectors The other point this global institution raised is that the recorded economic growth is not sufficient to strongly and rapidly reduce unemployment in Algeria.

In general, the IMF notes that hiking inflation, continued dependence on the hydrocarbon sector and public spending, and the risk of downturn in oil prices, as well as the high level of unemployment are the main challenges Algeria has to take up.

In this regard, it considers that there is no other choices but to take advantage of the current rise in oil prices to develop the potential exporting sectors and therefore currency suppliers to diversify the economy.

Algeria solidarity during hard times

Being the least indebted countries of the 20 countries in the MENA region, Algeria has comfortable external reserves exchange which further increased to $190.66 billion at the end of 2012, according to the Bank of Algeria figures published Tuesday.

Faced with a Eurozone in a serious financial crisis with its negative impact on the global economy prospects, IMF found itself in a difficult position called to meet the strong demand for loans of tens and hundreds of billions of dollars.

Showing solidarity during this particularly difficult international situation, Algeria decided to participate in the debt issued by $ 5 billion.

Following this decision, Lagarde expressed her gratitude to Algeria hailing its contribution, accompanied with a concerted action among creditors to ensure that the IMF has sufficient resources to fight against the crisis and promote global economic stability.