Algeria ends 2016 with $114 bln of foreign reserves

By Lamine Chikhi

ALGIERS Dec 29 (Reuters) – Algeria will end 2016 with $114
billion of foreign reserves, but its oil and gas earnings will
drop to $27.5 billion from $35.7 in 2015 and $60 billion in
2014, Prime Minister Abdelmalek Sellal told state TV late on

Algeria’s foreign reserves were at $178 billion in 2014.

“Hydrocarbon revenues will reach $27.5 billion in 2016, and
$35 billion in 2017, and $45 billion in 2019,” the prime
minister forecast.

He also said economic growth would be 3.5 percent in 2016
and 3.9 percent in 2017, with the external debt remaining at $3
billion, or 1.8 percent of gross domestic product.

Algeria will maintain a subsidy system worth $18 billion in
2017, he added. Products such as milk, bread and sugar are
subsidised by the state.

“I reassure the Algerians that we will not abandon our
subsidy system policy,” the prime minister said.

(Reporting by Lamine Chikhi; Editing by Mark Potter)

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