THE EU-ALGERIA ASSOCIATION AGREEMENT AND THE NEED FOR STRUCTURAL REFORM: A CRITICAL ASSESSMENT
KHAYREDDINE BELAAZE - RANDA SAADI - AMINA BOUKHEDNA
https://doi.org/10.53465/ER.2644-7185.2026.1.45-61
Abstract: Since the mid-1990s, Algeria has begun revising its foreign trade policy, ending the monopoly of state-owned enterprises over foreign trade operations, and moving toward trade liberalization. The signing of bilateral trade agreements is considered one such policy. This study aims to evaluate the reality of the Association Agreement between the European Union and Algeria within the framework of the Euro-Mediterranean Partnership. It seeks to determine whether this agreement, which serves as a model for trade liberalization between the North and the South, is particularly relevant to Algeria. The study also explores the underlying reasons for the agreement's mixed outcomes, notably Algeria's delayed accession compared to its neighbors. The paper found a significant disparity in benefits. While the agreement proved effective in liberalizing European imports into Algeria, it failed to stimulate or diversify Algerian non-oil exports. These perceived negative outcomes prompted Algeria to reassess the agreement, leading to renegotiations that postponed the deadline for establishing the free trade area and reimposed customs duties on sensitive products.
Keywords: EU-Algeria Association Agreement; trade liberalization; Euro-Mediterranean Partnership; European Union.
JEL Classification: F13, F15, F14
Fulltext: PDF
Online publication date: 25 March 2026
To cite this article (APA style):
Belaaze, K., Saadi, R., Boukhedna, A. (2026). The EU-Algeria association agreement and the need for structural reform: A critical assessment. Economic Review, 55(1), 45 - 61. https://doi.org/10.53465/ER.2644-7185.2026.1.45-61
Publisher: Bratislava University of Economics and Business
ISSN 2644-7185 (online)
License:
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
