Dominique Boutter: Director of the Business France office in Algiers

What impact has the fall in oil prices had on Algeria's economy?

It has had serious consequences for the balance of payments and public budgets. Nevertheless, Algeria has room for manoeuvre, with substantial foreign exchange reserves of over 100 billion dollars. And it is a country with virtually no foreign debt. The government intends to continue along this path and to call on loans from the Central Bank to the Treasury to finance the public deficit.

There has been a drop in the public investment budget since 2015, but this budget was substantial and has stabilised for the 2017-2018 period at around 20 billion dollars. On the scale of the African continent and the countries of the region, this remains a very significant public investment budget.

What is the country doing to reduce its dependence on hydrocarbon exports?

This situation of low oil prices is forcing Algeria to speed up the diversification of its economy. A number of sectors offer enormous opportunities: agriculture, agri-food, mining, building materials, metal construction, petrochemicals, pharmaceuticals, textiles, automobiles, household appliances and electronics. These are sectors in which there are already investors and major investments are being made: in pharmaceuticals, we now have almost 50 % of local production in relation to consumption, and there are more than 150 projects underway in the field of pharmaceutical laboratories.

In the automotive sector, several assembly units already exist, and other projects are under way. In the electronics and household electrical appliance sectors, Algeria has a high level of production and is beginning to export. The textile sector has seen major investment recently.

In agriculture and agri-food, there are enormous opportunities, both in agricultural production and aquaculture, but also in the distribution of products - with a stated desire in all these areas to increase the rate of local integration.

How are foreign investors reacting?

There is perhaps a certain caution when we look at Algeria today, but if we look at the opportunities offered by this diversification and the possibilities of setting up a business with a quality local partner, this is certainly a favourable period.

We have recently seen the emergence of a new generation of investors in Algeria, private investors. They come from family businesses that have accumulated capital in recent years, mainly in trading, commerce and imports, and are now turning their attention to industry.

They are attractive partners for foreign investors, and they have capital. But they need technology and know-how in industrial production and distribution, and that's what they're looking for in foreign investors. They are open to all sectors and all opportunities.