# Presentation: 690758

## U.S. Commercial Service

**       ****Doing Business in Algeria **
-         Presented by Wifak Rtal Bennani
- 15, June , 2007

## Market Overview

**Size: 10****th**** largest country in the world and the 2****nd****  largest in Africa.**
**Strategic location: the Mediterranean, other Maghreb countries and the Sahel.**
** ****GDP: $115 billion,**
** ****GDP growth: 5.1%**
** ****GDP per capita : $3,300**
** ****Inflation: 5%**
** ****Population:  33.2 million. **

## Market Overview

** ****Imports: $25 billion- Exports: $51 billion ( 97% Hydrocarbons: oil and gas)**
** ****U.S:  first bilateral trade partner, ahead of France, Italy and Germany **
**U.S exports to Algeria:+ $1 billion**
**The security situation: generally improved particularly in the Major cities.**

## Algeria : true energy giant 

**Premier Energy power of the Mediterranean. **
** **
** ****Ranking Worldwide:**
** ****	****15****th****: oil reserves, **
**     ****18****th****: production, **
**	****12****th****:  export, **
**	**** ****7****th****: natural gas resources.**

## Market Entry Strategy

**Partnerships and joint ventures: viable forms**
**local office: beneficial to procuring tenders for government contracts**
**Relationships are important to finding a partner in Algeria **
**Agents and consulting firms can watch for small or rapidly changing technical requirements during a tender process.**** **

## Best Prospects for U.S. Exporters 

** ****Oil & Gas- Hydrocarbons**
** ****Banking and Financial Services**
** ****Housing and Construction**
** ****Telecommunications & Information Technology**
** ****Infrastructure:  Highway and railway projects**
** ****Healthcare**
** ****Power Generation**
**Tourism**
** ****Water Resources Equipment **
** ****Agribusiness & Agriculture **

## Energy: Oil and Gas

** ****Investment ****$32.4 billion****: SONATRACH- **State   owned-** ( 2006- 2010)**
** ****64%: upstream**
** ****20%: midstream( pipelines and transport)**
** ****16%: downstream**

## Energy: Power generation

** ****Total installed capacity for power generation is expected to total 10250 megawatts by the end of 2010. This is a 50% increase compared to 2004. **
** ****This capacity is expected to further increase to 12000 megawatts by 2012.**
** ****SONELGAZ will invest $7.1 billion in power generation project between 2005-2009.**
** ****Export opportunities to the European market: Algeria is developing two underwater line projects for 3000 megawatts which will run along to Spain and Italy.**

## Energy: Renewable energy

** ****There are many solar power energy opportunities to be developed as Algeria is looking at diversifying its energy exports outside of hydrocarbons **

## Project financing

**The Algerian budget surplus exceeds $100 billion that the Government plans to invest on infrastructure and public works.**
**Six state-owned banks still dominate the commercial market with 95% share **

## Trade events

**Algiers International Trade Fair**, **June 2008 Algiers, Algeria. **
**	****	****U.S pavilion organized by the U.S Commercial Service**
** **
**Franchise Expo****, November 2007, Algiers, Algeria **
**	****	**_[www.](http://www.safex.com.dz/)__[safex](http://www.safex.com.dz/)__[.com.](http://www.safex.com.dz/)__[dz](http://www.safex.com.dz/)_** **

## Contact Us

**American Embassy**
**Tel: +213 21692317**
**Fax:213 21691863**
**E-mail: Faiza.Gamoura@mail.doc.gov    kamel.achab@mail.doc.gov**
**http://www.buyusa.gov/algeria/en**

## U.S. Commercial Service

**THANK YOU**