A French colony since 1830, Algeria became independent on 3 July 1962, after eight years of war between France and the National Liberation Front (FLN) which since then has always controlled the government.
In 1989, following changes in the international situation and the development of strong people’s movements, a new Constitution brought an end to the Socialist one-party system.
In the first round of the political elections (on 26 December, 1991), the Islamic Salvation Front (FIS) proved highly successful, but its access to power was blocked by the intervention of the armed forces, which called off the second round of the elections, dissolved the FIS and arrested its leaders. There then began a period of fierce fighting between government forces and fundamentalist groups. The latter were responsible for massacres in which many civilians were killed (more than 150 000 between 1993 and 2005). In 2006, the “Charter for Peace and National Reconciliation” was approved, granting a general amnesty to the terrorists and ending the civil war. From 1999 to 2019 the presidency was held by A. Bouteflika, who resigned following a large popular protest movement (hirak). There are separatist movements in Kabylia, the Berber region south-west of Algiers, and a rebel fundamentalist movement associated with Al Qaeda in the Islamic Maghreb.
According to the 1989 Constitution, amended several times, the President of the Republic, whose powers of government are very wide, is elected by direct vote for a five-year term, as is the National People’s Assembly, composed of 407 members; the Council of the Nation has 144 members (48 appointed by the President and 96 elected for a six-year term) half of whom must be renewed every three years. No political parties are allowed whose ideology is based on race, religion, gender or language: thus Islamic and ethnic minority parties are illegal. Islam has been declared the religion of state and practices which are contrary to “Islamic morality” are forbidden.

Justice.
The civil and penal legal system is based on the French system, with Islamic influences.

Economic situation.
Falling oil prices due to the COVID-19 pandemic significantly reduced revenue and worsened cash flow in current accounts, depleting foreign exchange reserves and devaluing the dinar. These negative effects also persist in 2021, despite the partial recovery. Increased unemployment has also added to growing social unrest. The rigid and statist economic structure does not help diversification, makes it difficult to deal with the onerous subsidy system and does not contribute to reducing the high rate of youth unemployment.

Primary sector.
Farming is practised on the coastal strip (olives, watermelons, vegetables and citrus fruits), on the plateaux (potatoes, cereal crops, vines, sheep and goat livestock) and in the oases (dates at Biskra, El-Oued, Ghardaïa and Ouargla). Wine production is relevant. To meet the water demand, in addition to conventional resources, the desalination of seawater is highly important. The main fishing-ports are Ghazaouet, Mestghanem, Bouharoun, Cherchell, Annaba, Bou Zedjar, Beni-Saf, Algiers.

Secondary sector
Minerals.
The largest oilfields are at Hassi-Messaoud, Rhourde el Baguel, El Gassi-El Agreb, Tin Fouyé, Edjeleh, Gassi Touil, Ohanet, Haoud Berkaoui and Zarzaïtine; natural gas reserves are found at Hassi R’Mel, Ain-Salah, Rhourde, Alrar and Messdar.
A sophisticated network of oil and gas pipelines connects the fields with the petro-chemical companies and ports on the coast: two sections of pipeline start at Hassi-Messaoud, one bound for Arzew and the other for Ouenza, where it splits again to supply Béjaïa and Skikda; other stretches convey crude oil from the oilfields at Zarzaïtine, Edjeleh, Ouan Taredert, El-Abed Larache, Tin Fouyé and Tiguentourine to La Skhirra (Tunisia). Gas pipelines run from Hassi R’Mel to the Algerian coast (Arzew), then across Tunisia and the Sicilian Channel to Mazara del Vallo (Sicily), in Italy.
Other mining resources include iron (at Ouenza, Bou Khadra, Beni-Saf, Khanguet el Mouhad, Anini and Rouina), phosphates, building material, zinc, lead and copper ores (from which silver is also extracted), and gold.
Industry.
Algeria’s oil-refining capacity is considerable (refineries at Algiers, Adrar, Arzew, Skikda and Hassi-Messaoud); helium is extracted from natural gas plants in Arzew and Skikda. Other important products are chemicals and fertilizers, steel (at Annaba, El Milia and Ouahran) and cement. Textiles, engineering (vehicle assembly at Algiers) electronics (Sidi Bel Abbès) and food industries are also relevant.

Tertiary sector
Foreign trade.
Hydrocarbons account for more than 90% of exports.

Main exports
(M US$ - 2017) 
crude oil and petroleum products 19 731, natural gas 14 074, chemicals 442, fertilizers 327, sugar and derived products 228, phosphates 55, dates 52, washing machines and appliances 42, glass 31