Les budgets pour 2026-2028 visent à améliorer la maîtrise des dépenses publiques

Budgets for 2026-2028 aim to improve control of public spending

Continuity of the budgetary trajectory decided so far

Continuing the budgetary trajectory adopted so far, the State budgets for the period 2026-2028, underlines the presentation report of the Finance Bill (PLF) 2026, aim to improve the control of public expenditure and to ensure a controlled and sustained evolution of tax revenues. Budgetary expenditure should be at 17,636.7 billion DA in 2026, 17,815.7 billion DA in 2027, then 18,499.7 billion DA in 2028.
The evolution of budgetary revenues and expenditures should, as anticipated through the presentation report of the PLF 2026, generate successive overall Treasury deficits of 12.4% of gross domestic product (GDP) for the next financial year, 11.4% of GDP in 2027 and 11.2% of GDP in 2028, i.e. a process of gradual control of public deficits, with budgetary revenues which should to settle at 8009 billion DA in 2026, 8187.2 billion DA in 2027 and 8412.7 billion DA in 2028.
While anticipating a reduction in budgeted hydrocarbon taxation from 2,697.9 billion DA for the next financial year to 2,588.4 billion DA in 2027, then to 2,513.5 billion DA in 2028, the frameworks and forecasts of the PLF provide, on the other hand, that “overall revenue excluding hydrocarbon taxation should record an average annual increase of 1%, over the period 2026 to 2028”, supported mainly by the increase in tax revenues, which should thus grow “at a rate close to 6.6% on average” over the entire projection period retained, i.e. over the next three years.
In terms of transfer expenditure, noted the same source, the PLF 2026 provides for an amount of 2,812 billion DA, mainly covering subsidies to public establishments and organizations under supervision, transfers to people 2,284 billion DA, including unemployment benefit 420 billion DA, 424 billion DA for pensions and the like, while the overall amount of subsidies for widely consumed products such as cereals, milk, desalinated water, energy, sugar, oil and coffee are around 657 billion DA. “This orientation also took into consideration the observed budgetary consumption rates, estimated at around 70%, which makes it possible to gradually reduce the overall Treasury deficit,” it is underlined in the text.
Algeria’s economic growth is expected to be 4.1% in 2026 and 4.4% in 2027, taking into consideration, we read throughout the text, the evolution of the national and international context, in particular the expected performance of the non-hydrocarbon sectors. In accordance with the general trend of the national economy, the gross domestic product (GDP) should be in current value at 41,878.3 billion DA in 2026, rising to 45,018.4 billion DA in 2027 then 48,395.7 billion DA in 2028, according to the figures of the PLF 2026, presented Tuesday by the Minister of Finance Abdelkrim Bouzred before the Commission of Finance and budget of the National People’s Assembly (NPC), and forecasting a growth rate of 4.5% in 2028.
Non-hydrocarbon GDP would stand at 36,286.5 billion DA in 2026, then 39,578.3 billion DA in 2027 before reaching 43,117.8 billion DA in 2028, while non-hydrocarbon growth would be at 4.9% in 2027 and 5% respectively for 2027 and 2028.
The macroeconomic and budgetary framework of the PLF 2026 is established on forecasts for the three-year period 2026-2028, based on the evolution of the national and international economic context, particularly in terms of supply and demand for hydrocarbon products.
Finally, in terms of national economic activity, the PLF expects the continuation of its positive dynamics over the period 2026-2028, mainly driven by the expected performance of the non-hydrocarbon sectors. This is the agricultural sector whose growth rate is expected to reach 5.4% over the period 2026-2028, driven by ongoing investments and the improvement in production, particularly that of cereals, which would increase from 44 million quintals in 2026 to 62 million in 2028.
Rabah Mokhtari