Othmane Touat

The development of Algeria’s service sector can significantly support economic diversification by reducing reliance on oil and gas, creating jobs, and enhancing productivity across other sectors like agriculture and industry. Services such as ICT, tourism, finance, and logistics offer new growth avenues and align with modernization goals. However, several obstacles limit this potential, including bureaucratic regulations, weak digital and transport infrastructure, skill mismatches, limited access to finance, and the dominance of the public sector. Political uncertainty and a large informal economy further constrain progress. To maximize the sector’s impact, Algeria must implement structural reforms, improve the business climate, invest in education and infrastructure, and support private sector development.

I fully agree with your analysis. If Algeria takes serious and committed steps toward implementing structural reforms, the service sector can indeed serve as a true engine for economic diversification. It has the potential to create sustainable development opportunities that benefit both society and the national economy.

By enabling innovation, enhancing private sector participation, and investing in infrastructure and education, the country can unlock the full potential of services like ICT, tourism, finance, and logistics—transforming them into key drivers of inclusive and resilient growth.

Mohamed Ibrahim Hassan Farag