Claim: Algeria provides natural gas and energy exports.

Algeria -LRB- الجزائر ; ⴷⵣⴰⵢⴻⵔ , Dzayer ; Algérie -RRB- , officially the People 's Democratic Republic of Algeria , is a sovereign state in North Africa on the Mediterranean coast . Its capital and most populous city is Algiers , located in the country 's far north . With an area of 2381741 km2 , Algeria is the tenth-largest country in the world , and the largest in Africa . Algeria is bordered to the northeast by Tunisia , to the east by Libya , to the west by Morocco , to the southwest by the Western Saharan territory , Mauritania , and Mali , to the southeast by Niger , and to the north by the Mediterranean Sea . The country is a semi-presidential republic consisting of 48 provinces and 1,541 communes -LRB- counties -RRB- . Abdelaziz Bouteflika has been President since 1999 .   Ancient Algeria has known many empires and dynasties , including ancient Numidians , Phoenicians , Carthaginians , Romans , Vandals , Byzantines , Umayyads , Abbasids , Idrisid , Aghlabid , Rustamid , Fatimids , Zirid , Hammadids , Almoravids , Almohads , Spaniards , Ottomans and the French colonial empire . Berbers are the indigenous inhabitants of Algeria .   Algeria is a regional and middle power . The North African country supplies large amounts of natural gas to Europe , and energy exports are the backbone of the economy . According to OPEC Algeria has the 16th largest oil reserves in the world and the second largest in Africa , while it has the 9th largest reserves of natural gas . Sonatrach , the national oil company , is the largest company in Africa . Algeria has one of the largest militaries in Africa and the largest defence budget on the continent ; most of Algeria 's weapons are imported from Russia , with whom they are a close ally . Algeria is a member of the African Union , the Arab League , OPEC , the United Nations and is the founding member of the Maghreb Union .