Economy

	Algeria	Morocco
Economy - overview	Algeria's economy remains dominated by the state, a legacy of the country's socialist post-independence development model. In recent years the Algerian Government has halted the privatization of state-owned industries and imposed restrictions on imports and foreign involvement in its economy. Hydrocarbons have long been the backbone of the economy, accounting for roughly 30% of GDP, 60% of budget revenues, and nearly 95% of export earnings. Algeria has the 10th-largest reserves of natural gas in the world and is the sixth-largest gas exporter. It ranks 16th in oil reserves. Hydrocarbon exports enabled Algeria to maintain macroeconomic stability and amass large foreign currency reserves while oil prices were high. In addition, Algeria's external debt is extremely low at about 2% of GDP. However, Algeria has struggled to develop non-hydrocarbon industries because of heavy regulation and an emphasis on state-driven growth. Declining oil prices since 2014 have reduced the government’s ability to use state-driven growth to distribute rents and fund generous public subsidies. Algeria’s foreign exchange reserves have declined by more than 40% since late 2013 and its oil stabilization fund has decreased from about $75 billion at the end of 2013 to about $7 billion in 2017, which is the statutory minimum. Algiers has strengthened protectionist measures since 2015 to limit its import bill and encourage domestic production of non-oil and gas industries. Since 2015, the government has imposed additional regulatory requirements on access to foreign exchange for imports and import quotas for specific products, such as cars, to limit their importation. Meanwhile, Algeria has not increased non-hydrocarbon exports, and hydrocarbon exports have declined because of field depletion and increased domestic demand. With declining revenues caused by falling oil prices, the government has been under pressure to reduce spending. A wave of economic protests in February and March 2011 prompted Algiers to offer more than $23 billion in public grants and retroactive salary and benefit increases, moves which continue to weigh on public finances. In 2016, the government increased taxes on electricity and fuel, resulting in a modest increase in gasoline prices, and in 2017 raised by 2% the value-added tax on nearly all products, but has refrained from directly reducing subsidies, particularly for education, healthcare, and housing programs. Long-term economic challenges include diversifying the economy away from its reliance on hydrocarbon exports, bolstering the private sector, attracting foreign investment, and providing adequate jobs for younger Algerians.	Morocco has capitalized on its proximity to Europe and relatively low labor costs to work towards building a diverse, open, market-oriented economy. Key sectors of the economy include agriculture, tourism, aerospace, automotive, phosphates, textiles, apparel, and subcomponents. Morocco has increased investment in its port, transportation, and industrial infrastructure to position itself as a center and broker for business throughout Africa. Industrial development strategies and infrastructure improvements - most visibly illustrated by a new port and free trade zone near Tangier - are improving Morocco's competitiveness. In the 1980s, Morocco was a heavily indebted country before pursuing austerity measures and pro-market reforms, overseen by the IMF. Since taking the throne in 1999, King MOHAMMED VI has presided over a stable economy marked by steady growth, low inflation, and gradually falling unemployment, although poor harvests and economic difficulties in Europe contributed to an economic slowdown. To boost exports, Morocco entered into a bilateral Free Trade Agreement with the US in 2006 and an Advanced Status agreement with the EU in 2008. In late 2014, Morocco eliminated subsidies for gasoline, diesel, and fuel oil, dramatically reducing outlays that weighted on the country’s budget and current account. Subsidies on butane gas and certain food products remain in place. Morocco also seeks to expand its renewable energy capacity with a goal of making renewable more than 50% of installed electricity generation capacity by 2030. Despite Morocco's economic progress, the country suffers from high unemployment, poverty, and illiteracy, particularly in rural areas. Key economic challenges for Morocco include reforming the education system and the judiciary.
GDP (purchasing power parity)	$629.3 billion (2017 est.) $620.2 billion (2016 est.) $600.4 billion (2015 est.) note: data are in 2017 dollars	$300.1 billion (2017 est.) $286.3 billion (2016 est.) $282.9 billion (2015 est.) note: data are in 2017 dollars
GDP - real growth rate	1.5% (2017 est.) 3.3% (2016 est.) 3.7% (2015 est.)	4.8% (2017 est.) 1.2% (2016 est.) 4.6% (2015 est.)
GDP - per capita (PPP)	$15,100 (2017 est.) $15,200 (2016 est.) $15,000 (2015 est.) note: data are in 2017 dollars	$8,600 (2017 est.) $8,300 (2016 est.) $8,300 (2015 est.) note: data are in 2017 dollars
GDP - composition by sector	agriculture: 13.2% industry: 36.1% services: 50.7% (2017 est.)	agriculture: 14.8% industry: 29.1% services: 56% (2017 est.)
Population below poverty line	23% (2006 est.)	15% (2007 est.)
Household income or consumption by percentage share	lowest 10%: 2.8% highest 10%: 26.8% (1995)	lowest 10%: 2.7% highest 10%: 33.2% (2007)
Inflation rate (consumer prices)	5.5% (2017 est.) 6.4% (2016 est.)	0.9% (2017 est.) 1.6% (2016 est.)
Labor force	11.82 million (2017 est.)	12 million (2017 est.)
Labor force - by occupation	agriculture: 30.9% industry: 30.9% services: 58.4% (2011 est.) (2011 est.)	agriculture: 39.1% industry: 20.3% services: 40.5% (2014 est.)
Unemployment rate	11.7% (2017 est.) 10.5% (2016 est.)	9.3% (2017 est.) 9.4% (2016 est.)
Distribution of family income - Gini index	35.3 (1995)	40.9 (2007 est.) 39.5 (1999 est.)
Budget	revenues: $52.08 billion expenditures: $70.74 billion (2017 est.)	revenues: $26.63 billion expenditures: $30.71 billion (2017 est.)
Industries	petroleum, natural gas, light industries, mining, electrical, petrochemical, food processing	automotive parts, phosphate mining and processing, aerospace, food processing, leather goods, textiles, construction, energy, tourism
Industrial production growth rate	0.9% (2017 est.)	2.6% (2017 est.)
Agriculture - products	wheat, barley, oats, grapes, olives, citrus, fruits; sheep, cattle	barley, wheat, citrus fruits, grapes, vegetables, olives; livestock; wine
Exports	$33.15 billion (2017 est.) $29.06 billion (2016 est.)	$19.64 billion (2017 est.) $18.88 billion (2016 est.)
Exports - commodities	petroleum, natural gas, and petroleum products 97% (2009 est.)	clothing and textiles, automobiles, electric components, inorganic chemicals, transistors, crude minerals, fertilizers (including phosphates), petroleum products, citrus fruits, vegetables, fish
Exports - partners	Italy 17.4%, Spain 12.9%, US 12.9%, France 11.4%, Brazil 5.4%, Netherlands 4.9%, Turkey 4.5%, Canada 4.3% (2016)	Spain 23.4%, France 21.1%, Italy 4.6% (2016)
Imports	$49.99 billion (2017 est.) $49.43 billion (2016 est.)	$39.64 billion (2017 est.) $36.59 billion (2016 est.)
Imports - commodities	capital goods, foodstuffs, consumer goods	crude petroleum, textile fabric, telecommunications equipment, wheat, gas and electricity, transistors, plastics
Imports - partners	China 17.8%, France 10.1%, Italy 9.8%, Spain 7.6%, Germany 6.4%, US 4.9%, Turkey 4.1% (2016)	Spain 15.7%, France 13.2%, China 9.1%, US 6.4%, Germany 5.9%, Italy 5.4%, Turkey 4.4% (2016)
Debt - external	$8.163 billion (31 December 2017 est.) $5.088 billion (31 December 2016 est.)	$45.72 billion (31 December 2017 est.) $44.65 billion (31 December 2016 est.)
Exchange rates	Algerian dinars (DZD) per US dollar - 108.9 (2017 est.) 109.443 (2016 est.) 109.443 (2015 est.) 100.691 (2014 est.) 80.579 (2013 est.)	Moroccan dirhams (MAD) per US dollar - 9.639 (2017 est.) 9.7787 (2016 est.) 9.7787 (2015 est.) 9.7351 (2014 est.) 8.3798 (2013 est.)
Fiscal year	calendar year	calendar year
Public debt	19.9% of GDP (2017 est.) 18% of GDP (2016 est.) note: data cover central government debt, as well as debt issued by subnational entities and intra-governmental debt	77.2% of GDP (2017 est.) 77.5% of GDP (2016 est.)
Reserves of foreign exchange and gold	$97.67 billion (31 December 2017 est.) $114.7 billion (31 December 2016 est.)	$22.97 billion (31 December 2017 est.) $25.37 billion (31 December 2016 est.)
Current Account Balance	-$22.87 billion (2017 est.) -$26.31 billion (2016 est.)	-$4.442 billion (2017 est.) -$4.537 billion (2016 est.)
GDP (official exchange rate)	$175.5 billion (2016 est.)	$110.7 billion (2016 est.)
Stock of direct foreign investment - at home	$26.24 billion (31 December 2017 est.) $25.74 billion (31 December 2016 est.)	$57.81 billion (31 December 2017 est.) $54.78 billion (31 December 2016 est.)
Stock of direct foreign investment - abroad	$2.123 billion (31 December 2017 est.) $2.025 billion (31 December 2016 est.)	$4.492 billion (31 December 2017 est.) $5.203 billion (31 December 2016 est.)
Market value of publicly traded shares	$NA	$45.93 billion (31 December 2015 est.) $52.75 billion (31 December 2014 est.) $53.83 billion (31 December 2013 est.)
Central bank discount rate	4% (31 December 2010) 4% (31 December 2009)	6.5% (31 December 2010) 3.31% (31 December 2009)
Commercial bank prime lending rate	8% (31 December 2017 est.) 8% (31 December 2016 est.)	5.7% (31 December 2017 est.) 5.73% (31 December 2016 est.)
Stock of domestic credit	$105.8 billion (31 December 2017 est.) $86.53 billion (31 December 2016 est.)	$118.4 billion (31 December 2017 est.) $109.3 billion (31 December 2016 est.)
Stock of narrow money	$86.45 billion (31 December 2017 est.) $85.11 billion (31 December 2016 est.)	$83.8 billion (31 December 2017 est.) $74.7 billion (31 December 2016 est.)
Stock of broad money	$126.5 billion (31 December 2017 est.) $125 billion (31 December 2016 est.)	$100 billion (31 December 2017 est.) $89.22 billion (31 December 2016 est.)
Taxes and other revenues	29.7% of GDP (2017 est.)	24.1% of GDP (2017 est.)
Budget surplus (+) or deficit (-)	-10.6% of GDP (2017 est.)	-3.7% of GDP (2017 est.)
Unemployment, youth ages 15-24	total: 25.2% male: 22.1% female: 41.5% (2014 est.)	total: 19.9% male: 20.8% female: 17.7% (2014 est.)
GDP - composition, by end use	household consumption: 42.7% government consumption: 21.4% investment in fixed capital: 42.7% investment in inventories: 7.6% exports of goods and services: 21% imports of goods and services: -35.5% (2017 est.)	household consumption: 58% government consumption: 18.8% investment in fixed capital: 30.1% investment in inventories: 2.8% exports of goods and services: 35.7% imports of goods and services: -45.5% (2017 est.)
Gross national saving	34.9% of GDP (2017 est.) 37.2% of GDP (2016 est.) 36.3% of GDP (2015 est.)	29.2% of GDP (2017 est.) 28.2% of GDP (2016 est.) 28.7% of GDP (2015 est.)