Algeria: IMF Predicts Economic Stagnation
IMF’s economic predictions for Algeria augur no growth for 2016 while forecast for 2017 signals further slump in the country’s economy with GDP expected to go down to 2.9 per cent, with payment balance estimated at 16.2 per cent of the GDP.
2016 predictions for growth of the Algerian economy according to the International Monetary Fund (IMF) will hit the estimated 3.4 per cent against 3.7 per cent recorded in 2015 – signifying further downwards trend of the Algerian economy.
Forecast for 2017 is no good for Algeria either, with date pointing at a continuing collapse of the economy to reach 2.9 per cent.
Authorities expect figures to bounce in 2021 to reach 3.4 with economic reforms being adopted to keep the country’s economy floating.
The IMF also put payments balance for 2016 at 17.1 of the GDP against 15.7 of the GDP in 2015. 2017 forecast for payments balance announces a slight improvement with figure pointing at 16.2 per cent of the GDP.
In addition, inflation rates for 2016 and 2017 will expectedly and relatively stay unchanged compared with 2015 figures (4.8 per cent.) Inflation rates of 2016 and 2017 will reach respectively 4.3 and 4.0 per cent.
The current economic and financial situation has crippled government capacity to recruit. Estimated at 11.3 per cent of the population in 2015, the unemployment rate will stay relatively unchanged for 2016 (11.6 per cent) but IMF experts fear a slight increase for 2017 (12.1 per cent).