Stagnation or Growth? Algeria’s development pathway to 2040
Summary
Algeria has significantly reduced income poverty and improved its Human Development Index deficit between 1990 and 2015. While universal social services and subsidies have lessened inequality, poor targeting has created new disparities, including a 28% consumption gap between the rich and poor. Poverty is heavily concentrated in the south, with rates twice as high in the Sahara and three times the national average in the Steppe region. Current estimates indicate approximately 2% of the population lives on less than US$3.20 per day, while the 2019 Multidimensional Poverty Index estimated 2.1% of Algerians as multidimensionally poor, with education being the primary driver of deprivation.
Key insights
- Algeria has seen a substantial decrease in its Human Development Index deficit from 1990 to 2015 and has implemented inclusive social services, including universal healthcare, education, and subsidies for food, housing, and transport.
- Inefficient targeting of subsidies and transfers has led to social and regional inequalities, including a consumption gap of nearly 28% between the wealthy and the poor.
- Poverty is significantly higher in the arid south compared to the north and coastal regions; specifically, poverty is double in the Sahara provinces and triple the national average in the Steppe ecological region.
- Current poverty estimates show that fewer than 1 million people (about 2%) live on less than US$3.20 per day, while the UNDP estimates 5.5% live below the national poverty line.
- The 2019 Multidimensional Poverty Index estimated that 2.1% of the population was multidimensionally poor, with deprivation in education (46.8) being the largest contributor, followed by health (29.9) and standard of living (23.2).
Cite the original document
- APA
- Cilliers, J., & Kwasi, S. (2022). Stagnation or Growth? Algeria’s development pathway to 2040. Institute for Security Studies. https://futures.issafrica.org/special-reports/guide.pdf?report=country/algeria&topic=05-poverty-and-equality
- Chicago
- Cilliers, Jakkie, and Stellah Kwasi. Stagnation or Growth? Algeria’s development pathway to 2040. Institute for Security Studies, 2022. https://futures.issafrica.org/special-reports/guide.pdf?report=country/algeria&topic=05-poverty-and-equality.
- Wikipedia
- {{cite report |last1=Cilliers |first1=Jakkie |last2=Kwasi |first2=Stellah |title=Stagnation or Growth? Algeria’s development pathway to 2040 |publisher=Institute for Security Studies |date=28 June 2022 |url=https://futures.issafrica.org/special-reports/guide.pdf?report=country/algeria&topic=05-poverty-and-equality |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{cilliers2022stagnation, author = {Cilliers, Jakkie and Kwasi, Stellah}, title = {{Stagnation or Growth? Algeria’s development pathway to 2040}}, institution = {Institute for Security Studies}, year = {2022}, month = jun, url = {https://futures.issafrica.org/special-reports/guide.pdf?report=country/algeria&topic=05-poverty-and-equality}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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