Algerian Senate President Salah Goudjil Presides Over Public Session to Discuss 2025 Finance Bill

On Thursday, November 14, 2024, Salah Goudjil, President of the Algerian Senate, chaired a public session dedicated to presenting and discussing the draft Finance Bill for 2025. The session was attended by Minister of Finance Aziz Faïd, representing the government, and several other ministers, including Basma Azouar, Minister of Relations with Parliament; Abderrachid Tabi, Minister of Justice; Tarek Belaribi, Minister of Housing and Urban Development; Lakhdar Rekhroukh, Minister of Public Works and Infrastructure; Mohamed Habib Zehana, Minister of Transport; Mohamed Laâkab, Minister of Communication; and Ahmed Beddani, Minister of Fisheries and Marine Resources.

At the beginning of the morning session, President Goudjil invited Finance Minister Aziz Faïd to present a detailed overview of the bill. Faïd emphasized that the bill’s preparation came during a pivotal time for Algeria, as 2024 marks the transition between the end of President Abdelmadjid Tebboune’s first term and the beginning of his potential second term. The bill, he noted, reflects Algeria’s ongoing efforts to improve citizens’ purchasing power, create new jobs, and resume investment projects previously on hold since 2014.

The government representative highlighted Algeria’s resilience in the face of economic challenges, including inflation, global economic constraints, and geopolitical tensions, as well as the country’s fiscal response to the pandemic. Among the bill’s key provisions are tax exemptions for low-income citizens, an increase in the national minimum wage, the introduction of an unemployment benefit, and adjustments to pension plans. Moreover, the bill plans for substantial investment to establish ten new southern provinces and create over 374,000 public sector jobs between 2020 and 2024.

Despite global challenges, Faïd underscored that Algeria’s economy continues to show resilience, with steady growth in non-hydrocarbon sectors, a surplus in the balance of payments, and an increase in foreign reserves. To support ongoing economic development, the bill includes policies to diversify revenue streams, reduce budget deficits, and support social welfare initiatives. It also envisions growth in public revenue by 3.1% from 2025 to 2027, with a targeted 9.9% increase in spending in 2025.

Following Faïd’s presentation, Senator Mbarek Mouloud Falouti, chairman of the Senate’s Economic and Financial Committee, presented a preliminary report underlining the significance of the bill for maintaining economic stability, ensuring food and water security, and preserving Algeria’s social safety net.

The Senate members then raised concerns and questions about budget deficit reduction strategies, local development, infrastructure, housing, and the mechanisms for supporting economic diversification. Discussions will continue on Friday, November 15, 2024, with interventions from representatives of the four parliamentary groups—FLN, Presidential Third, RND, and Independents—to outline their positions on the Finance Bill. The Senate is expected to hold a final vote on Saturday, November 16, 2024.