What are the government’s economic objectives for 2002?
First, let me say that on the macroeconomic level, Algeria is doing rather well. Inflation is controlled (less than 1% in 2000); the dinar is stabilized and the budget is in balance, producing a surplus even in the middle term thanks to oil income. Consequently, foreign exchange reserves are today far superior to those of an import year, which also greatly helps the problem of external debt.
For 2002, our program of economic reform is an ambitious one. It aims at fundamental restructuring and modernization to create the conditions necessary for sustainable development, generating wealth and employment opportunities and improving the general standard of living.
Our plan of action is based on a capital injection of about $8 billion over the period from 2001 to 2004. The objective, aside from stimulating the economy, is also to fight poverty by engaging in a number of big projects, such as the construction of rural/urban housing, reinforcement of potable water capacity, infrastructure development, improvement of agricultural terrains and so on. Special attention will also be given to employment, notably that of young people, who constitute the majority of the population. This is why the housing and agricultural sectors will be given priority because of the primary role they play in the process of development as well as their strong impact on employment creation. Overall, the plan has been conceived to prepare for the long term, while also taking care of urgent problems of the present.

How important is foreign and local investment from the private sector to this strategy?
Partnerships, privatization or concession systems are for us a means to transform the Algerian economy and provide the necessary funding for this process. Of crucial importance also is the development of small and medium-sized enterprises, both as employers and as generators of economic growth. Construction and urban development, agricultural production, services, tourism and environmental preservation are all areas where the SMEs could invest.
To encourage this process, the government has introduced a new institution charged with the promotion of local and international investment projects. This institution will be the unique negotiator with the investor and will simplify and accelerate investment procedures, including those of small investors. In addition, the government has reduced fiscal charges as well as excessive salaries.
The state is also granting special incentives for investment projects undertaken in specific areas of the country and ones that use specific, environmentally friendly technologies, for example.

How committed is Algeria to integrating itself into the international economy?
A very important step was taken in this process when President Bouteflika signed an Association Agreement with the European Union in late 2001. Our priority for this year will be to restart negotiations concerning accession to the World Trade Organization. Of equal importance is regional integration, specifically the Union of the Arab Maghreb. This remains a national priority. As far as the development of foreign policy is concerned, the history and geographic location of Algeria means that we must maintain a quadruple Arab, African, Mediterranean and Maghreb dimension.

How has Algeria’s international perspective been affected by the events of September 11?
For over a decade Algeria has itself been the victim of this vile animal called terrorism. In this sense the Algerian people have felt very close to the American people during that time and we shared their pain. It is certain today that one of the priorities of the UN is to organize a permanent, cooperative and cohesive war against terrorism. But for this to succeed, it should be accompanied by a war against poverty and sickness, which is, I think, the fundamental source of terrorism. Following the same logic, we have to promote peace in the Near East region and bring justice to the Palestinian people. It is necessary to realize that the present situation is perceived as unjust, and when people feel hopeless or ignored by the world, it is exploited and used as a pretext by terrorists in order to serve their own objectives.