Finance bill 2025: The reference price of oil set at $60 per barrel
Yahia Maouchi
The Minister of Finance, Laaziz Faïd, presented the finance bill for the year 2025 before the Finance and Budget Committee of the National People’s Assembly. He affirmed that the national economy continues to show resilience despite difficult international conditions, such as inflation and weak trade.
During the session chaired by Mohamed Hadi Osama Arbaoui, president of the Commission, and in the presence of the Minister of Relations with Parliament, Basma Azouar, the Minister of Finance revealed that Algeria occupies third place in Africa in terms of gross domestic product, which is estimated at 266.8 billion US dollars for the year 2023.
He stressed that the year 2024 is a pivotal year, marking the transition between the completion of the programs of the first presidential term and the start of the second term of the President of the Republic, Abdelmadjid Tebboune.
Mr. Faïd explained that the bill is part of the closure of a phase marked by significant budgetary challenges, in particular the management of the repercussions of the Covid-19 pandemic and the achievement of program commitments. catch-up. He also mentioned improving purchasing power through measures such as income tax exemption and revision of the minimum wage.
The minister recalled the continuity in the implementation of major projects included in the public investment program, with an increase in budgetary expenditure going from 7,820 billion dinars in 2020 to 15,275 billion dinars in 2024. He indicated that these measures contributed to an estimated growth rate of 4.4%.
According to the minister, the budget forecast indicates a growth in public revenue of 3.1% for the period 2025-2027, with an increase in expenditure of 9.9% in 2025, reflecting the government’s efforts to improve the economic situation and achieve a balanced budget.
Concerning the main indicators of the 2025 finance bill, it is expected that the reference price of oil will be set at $60 per barrel, and that budget revenues will reach 523.18 billion dinars in 2025, an increase of 3 .5% compared to forecast revenues at the close of 2024, supported by an improvement in tax revenues of 9%.
Tax revenues are also expected to increase, from 8,131.2 billion dinars in the 2024 closing forecast to 9,156.4 billion dinars in 2025, an increase of 343.8 billion dinars. Oil tax revenues are expected to reach 3,454 billion dinars in 2025 compared to 512.33 billion dinars in 2024.
The market price of a barrel of crude oil has been estimated at more than 81.5 US dollars for the closing forecast of the year 2024.
Among the other indicators mentioned by the minister, a growth rate of gross domestic product of 4.5% is expected, as well as a continued increase in foreign exchange reserves, excluding gold, which are expected to increase from 68.99 billion US dollars. by the end of 2023 to 71.78 billion US dollars in the closing forecast of 2024.
Regarding the main measures proposed as part of the finance bill for the year 2025, the government representative mentioned measures to support investment and the national economy, measures to strengthen the power of purchase and improve the living environment of citizens, as well as actions to strengthen tax compliance and inclusion, broaden the tax base and mobilize resources, in addition to simplifying and harmonizing procedures and special allocation accounts.
