ALGIERS – Wednesday, 25 October 2023 (APS) – The Minister of Finance, Laaziz Faid affirmed Tuesday in Algiers that Algeria’s inflation rate has been decreasing since last May, following the measures taken by the Government to ensure the availability of products and the regulation of prices.

In response to the question of the senator of the Council of the Nation (Upper House) on the bill amending the 2023 Finance Act at a plenary session chaired by Salah Goudjil, Speaker of the Council, in the presence of the Minister for Relations with Parliament, Basmar Azouar, Faid said that “the consumption price index has recorded a consecutive monthly drop since last May.”

The reduction of customs duties (30% to 5% for example in imported beef and sheep meat), price control and the fight against speculation will further decrease inflation for the three remaining months of the year, he stressed.

According to the Government forecasts, the inflation rate for 2023 is expected to diminish to 7.5%. “These forecasts consider the component of the Algerian consumption basket, the expected results of the measures taken by the Government, including the food and agricultural products supply capacity increase and the regulation of staples,” said Faid.

The figures in the bill amending Finance Act 2023 were set on the basis of the reference year 1989, whereas the economic indicators will be updated on the basis of the reference year 2001 as from the Finance Act 2024,” he continued.

Responding to concerns about the revision of subsidy policy, the Minister reiterated that “the issue of abolishing subsidies is on the Government’s table”, stressing that Article 187 of the 2020 Finance Act provided for the revision of subsidy policy by moving towards targeted aid.

“The Government, represented by the Ministry of Finance, is working on this complex and sensitive issue, which is closely linked to the digitalization of the sector, as we cannot make progress in this area without achieving the digital transition,” affirmed Faid.

On December 15, 2023, the Ministry of Finance will be equipped with a Data Center, and “from this phase onwards, we will engage in the completion of this operation,” announced the Minister.