Algeria: Tebboune aims for economic reforms to consolidate his power

Abdelmadjid Tebboune, Algerian President and candidate for re-election, is focusing his strategy on economic reforms against a backdrop of dependence on hydrocarbons and criticism of the political status quo.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

Abdelmadjid Tebboune, candidate for a second term, is emphasizing his economic record to convince voters ahead of the September 7 ballot.
Since coming to power in 2019, he has focused his policies on restructuring public finances, fighting corruption and supporting the population’s income.
The Head of State has emphasized economic growth of 4% since 2022, supported by rising natural gas prices, a key sector for Algeria.
However, energy dependency remains a structural vulnerability of the Algerian economy.

Public finances strengthened but dependent

Tebboune announced an increase in foreign exchange reserves, now estimated at $70 billion, and boasted that he had “put the country back on track” in terms of financial management.
The State, which remains dependent on hydrocarbon revenues accounting for 95% of foreign exchange earnings, is benefiting from a favorable international context, with high energy prices since the start of the conflict in Ukraine.
These conditions have enabled the government to improve its budget balance and limit the deficit.
Internally, Tebboune’s anti-corruption policy has resulted in the prosecution of several influential figures from Bouteflika’s former regime, which is also contributing to this financial recovery.
However, the question of economic diversification remains a pressing one.
The reforms proposed remain insufficient to reduce dependence on fossil fuels.
At a time when the world is moving towards energy transitions, Algeria is struggling to find growth drivers beyond hydrocarbons.
This situation exposes the country to the risk of volatility on international markets, with a direct impact on public finances and social policies.

Social strategy to ease internal tensions

In response to public expectations, Tebboune is implementing support measures such as raising public sector wages and pensions, and creating an unemployment benefit for young people.
At a recent rally in Oran, he promised to create 450,000 jobs and increase the monthly unemployment benefit.
This strategy aims to mitigate internal criticism, particularly from the Hirak movement, which denounces a lack of substantial political reform since the fall of Bouteflika.
Criticism persists, however.
Analysts such as Hasni Abidi of CERMAM in Geneva believe that these measures are more short-term crisis-management tactics than substantive solutions to Algeria’s socio-economic challenges.
The continued repression of dissenting voices and the absence of an inclusive national dialogue indicate that Tebboune’s governance remains rooted in the continuity of the existing system, rather than in a far-reaching political transformation.

Foreign relations and diplomacy under pressure

On the international stage, Tebboune is attempting to reassert Algeria’s influence, notably within the United Nations Security Council.
However, bilateral relations are under increasing strain.
A new crisis erupted with France, following Paris’s support for Morocco’s autonomy plan for the Western Sahara, prompting the immediate recall of the Algerian ambassador.
This diplomatic chill complicates Algeria’s position in its relations with its Western and regional partners.
Tensions with Morocco, particularly over the Western Sahara, continue to fuel friction.
At the same time, the security situation and relations with Mali pose challenges for Algeria, which is seeking to play a stabilizing role in North Africa and the Sahel.
These diplomatic and security issues call for constant adjustments in a region marked by instability.
Tebboune’s next mandate, if renewed, will probably focus on consolidating economic gains and managing political and diplomatic dynamics.
Algeria’s ability to diversify its economy and calm its international relations will be decisive for its future stability.

Enedis will progressively reorganise off-peak hour time slots from 1 November, impacting 14.5 million customers by 2027, under new rules set by the Energy Regulatory Commission.
A report highlights the financial burden of fossil imports during the energy crisis and points to electrification as key to European energy security.
Prime Minister Sébastien Lecornu announced a review of public funding for renewable energy, without changing national targets, to avoid rent-seeking effects and better regulate the use of public funds.
The 2025 edition of the Renewable Electricity System Observatory warns of the widening gap between French energy ambitions and industrial reality, requiring immediate acceleration of investments in solar, wind and associated infrastructure.
Kogi State Electricity Distribution Limited reported a ₦1.3bn ($882,011) loss due to power fraud, threatening its operational viability in Kogi State.
More than 40 developers will gather in Livingstone from 26 to 28 November to turn Southern Africa’s energy commitments into bankable and interconnected projects.
Citepa projections confirm a marked slowdown in France's climate trajectory, with emissions reductions well below targets set in the national low-carbon strategy.
The United States has threatened economic sanctions against International Maritime Organization members who approve a global carbon tax on international shipping emissions.
Global progress on electricity access slowed in 2024, with only 11 million new connections, despite targeted efforts in parts of Africa and Asia.
A parliamentary report questions the 2026 electricity pricing reform, warning of increased market exposure for households and a redistribution mechanism lacking clarity.
The US Senate has confirmed two new commissioners to the Federal Energy Regulatory Commission, creating a Republican majority that could reshape the regulatory approach to national energy infrastructure.
The federal government launches a CAD3mn call for proposals to fund Indigenous participation in energy and infrastructure projects related to critical minerals.
Opportunities are emerging for African countries to move from extraction to industrial manufacturing in energy technology value chains, as the 2025 G20 discussions highlight these issues.
According to the International Energy Agency (IEA), global renewable power capacity could more than double by 2030, driven by the rise of solar photovoltaics despite supply chain pressures and evolving policy frameworks.
Algeria plans to allocate $60 billion to energy projects by 2029, primarily targeting upstream oil and gas, while developing petrochemicals, renewables and unconventional resources.
China set a record for clean technology exports in August, driven by surging sales of electric vehicles and batteries, with more than half of the growth coming from non-OECD markets.
A night-time attack on Belgorod’s power grid left thousands without electricity, according to Russian local authorities, despite partial service restoration the following morning.
The French Academy of Sciences calls for a global ban on solar radiation modification, citing major risks to climate stability and the world economy.
The halt of US federal services disrupts the entire decision-making chain for energy and mining projects, with growing risks of administrative delays and missing critical data.
Facing a potential federal government shutdown, multiple US energy agencies are preparing to suspend services and furlough thousands of employees.

All the latest energy news, all the time

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.