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 Introduction - Privatization - Partnerships - Investment - Oil and Gas - Mining -
Electricity - Building for the future - Telecoms - Air and Sea - Private Sector - Finance -
Going Public - Image is everything - Tourism - Conclusion 
 BUILDING FOR THE FUTURE |
The government's program based on economic diversification will particularly focus on public works projects, not only to prop up construction companies, which were badly affected by the recession, but also to drive down the country's unemployment rate, which presently stands at 30% of the working population.
The strategy is to instill some kind of health and confidence into companies within the public works in an effort to modernize and restructure their operations at the same time.
Belarbi Belkacem, General Manager of the Public Holding Réalisation et Matériaux de Construction, goes even further by stating that "the holding company is preparing a number of its entities for privatization. They are being prepared, not only by injecting capital, but also by restructuring them, and cutting out all extra costs or expenses. After that, these entities will be put on the market for sale to potential buyers. Otherwise they will start running as private companies facing competition with renewed strength and stability."
| Speaking about this first privatization experience, Belkacem stated: "We put about 12 brickyards on the market, and I must say we were surprised to realize that local companies were starting to gain confidence and buying." As for future steps towards privatization, Belkacem is optimistic. He states that the Holding has 142 companies, which could be up for grabs; yet, this will depend on the drawing up of a credible privatization program that would enable the State to free itself from the least important companies".
Within Réalisation et Matériaux de Construction Holding, Sonatro is one of the most dynamic companies looking for partners. As a national leader in the field of public works, Sonatro recently come out of a 5-year convalescence period, and has recently started to regain confidence thanks to an increase in investments. Sonatro is presently developing its technological capacity for more efficient cost controls and better quality production through partnership contracts.
According to Mustapha Rebouh, General Manager of Sonatro, "the company has gone through difficult times. Today, we are presently working with an Italian firm, and we have contacted a number of French companies as well." Through investment or management partnerships, Sonatro hopes to build on its already strong position in Algeria's construction sector. |
© World INvestment NEws, 2001.
This is the electronic edition of the special country report on Algeria published in Forbes Global Magazine. 12th November, 2001 Issue.
Developed by AgenciaE.Tv Communication |
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ALGERIA,
