The African Development Bank Group confirmed, in its 2026 report on economic prospects in Africa, which was presented in Brazzaville during the institution’s annual meetings, that the Algerian economy is likely to continue achieving stable growth in the coming years, with the support of public investments and the expansion of activity in sectors outside hydrocarbons.
The report explained that Algeria still maintains strong macroeconomic indicators despite the difficult international circumstances, characterized by escalating geopolitical tensions and continuing fluctuations in energy markets, and the effects they cause on the global economy.
The African Development Bank’s expectations are consistent with the estimates contained in the 2026 Finance Law, which expects economic growth of 4.2% during the next year.
The Finance Law also expects the pace of growth to accelerate during the year 2027 to reach 4.4%, while the African Development Bank expects growth of 4.2% during the same period.
The report indicated that the Algerian economy continued to achieve positive results, supported by the strong performance of the industrial and agricultural sectors, in addition to improved levels of investment and household consumption.
With regard to human development, the Bank confirmed that Algeria is classified among the most advanced African countries according to the Human Development Index.
The report also recorded a noticeable decline in the inflation rate, which fell from 4.4% in 2024 to 1.7% in 2025, as a result of the slowdown in the rise in food prices.
On the social level, the document highlighted that the social policies pursued by public authorities, with the aim of ensuring access to basic services, contributed to improving social indicators and reducing disparities between groups.
