The Africa regional integration index is designed to measure the extent to which each country in Africa is meeting its commitments under the various pan-African integration frameworks, such as Agenda 2063 and the Abuja Treaty.
The index, which is a joint project of the African Development Bank, the African Union Commission and the Economic Commission for Africa, covers the following dimensions: free movement of persons, trade integration, productive integration, regional interconnections and infrastructure, and macroeconomic policy convergence.
Overall, Algeria performs moderately, with strong performance in the area of free movement of persons but moderate to weak performance in the areas trade integration, productive integration and infrastructure.
Where specific policy measures that could boost its performance are concerned, Algeria could consider, further reducing tariffs on intraregional imports, and looking into other measures to boost intraregional trade in goods, particularly integration into regional value chains.
Algeria ranks moderately within AMU high in the overall index, attaining third place out of five countries in the bloc.
- Third in AMU (score: 0.47).
- Best performer in AMU is Morocco (score: 0.55).
How Algeria Ranks Within UMA
Compare Algeria's Dimension Scores
Analysis of Algeria's Performance Across Dimensions
Free movement of persons: Good score (first in AMU). Algeria allows nationals from all other AMU countries to enter visa-free. Algeria has also ratified the relevant AMU instruments concerning free movement of persons, rights of establishment and free movement of workers.
Trade integration: Moderate to poor score (fourth in AMU). Algeria has an average applied tariff of around four per cent on imports from AMU (based on data for 2014); this is the second highest in the bloc, after Mauritania. Trade (as a share of GDP) with the rest of the regional economic community is mixed. Over the period 2010 to 2013, imports from the rest of AMU accounted for only 0.4 per cent of Algeria’s GDP, which was lower than the equivalent statistic for any other AMU member country. However, Algeria’s exports to AMU as a share of GDP averaged 0.9 per cent over the same period – the second highest level among AMU member countries.
Productive integration: Moderate to poor score (fourth in AMU). Algeria appears to be only weakly integrated into regional value chains. Its trade is moderately complementary with that of its partners, with the country ranking third among AMU member countries in terms of its performance in the UNCTAD Merchandise trade complementarity index vis-à-vis the rest of AMU between 2010 and 2013. The share of Algeria of intermediates in its imports from the regional economic communities was 29 per cent (the highest in the bloc), while the share of intermediates in total exports within the region averaged 2 per cent (the lowest in the bloc).
Infrastructure: Moderate to poor score (fourth in AMU). Intra-African mobile phone roaming is quite expensive in Algeria is the thirteenth-highest among 38 African countries for which data was available. The country ranked fourth among AMU members in its average performance in the AfDB infrastructure development index between 2010 and 2012. Around 58 per cent of international flights to and from Algeria are intra-AMU, which is the second-highest such ratio among AMU members (behind Libya).
- Free movement of persons: first in AMU (score: 0.8).
- Trade integration: fourth in AMU (score: 0.64). Best performer in AMU is Tunisia (score: 0.97).
- Productive integration: fourth in AMU (score: 0.41). Best performer in AMU is Tunisia (score: 0.67).
- Infrastructure: fourth in AMU (score: 0.37). Best performer in AMU is Libya (score: 0.67).
- Financial integration and macroeconomic policy convergence: third in AMU (score: 0.15). Best performer in AMU is Morocco (score: 0.5).