APS : Tuesday, 24 January 2017
PARIS – The Algerian oil industry has posted “positive” performances in comparison with 2015, said COFACE in its annual “Country risk assessment 2017,” adding that the growth “has only moderated slightly in 2016.”
“Despite the decrease in the nominal oil GDP, the oil industry posted positive performances compared to 2015, maintaining the growth rate above zero,” said COFACE, French agency for export credit insurance, in its risk assessment of 160 countries.
In the Country risk assessment 2017 published Tuesday in Paris, Algeria was classified at the category C for the high risk of companies’ payment defaults and at the category B in terms of business climate as the reliability and the availability of companies sheets are “extremely variable,” while in the previous one Algerian was classified at the category B with a “low” risk.
In its assessment of Algeria, the French credit insurer said that non-hydrocarbon economy has certainly slowed down, notably the manufacturing sector and the public sector.
The services and the sectors related to consumption have remained “robust,” said Coface, which noted that the households’ expenses remained “significant” thanks to the subsidies.”
Among the strengths of Algeria that COFACE has noted are the “important” oil and gas reserves, the potential in the fields of the renewable energy and tourism and the “solid” external financial position (very low external indebtedness, important exchange reserve).