The International Monetary Fund (IMF) has revised its growth forecast for Algeria upward to 3.8% in 2026, compared to 2.9% projected in October 2025. This update, published in the World Economic Outlook, reflects improved short-term conditions driven by developments in energy markets.
However, the institution highlights persistent structural vulnerabilities linked to the country’s reliance on hydrocarbons, which remain its main fiscal and trade driver. The IMF is calling for deeper reforms to diversify the economy, modernize the banking system, and strengthen private investment in order to turn this short-term resilience into sustainable growth.
