Algerian Council Of Ministers Backs Budget Bill

by Ulrika Lomas, Tax-News.com, Brussels

02 October 2013

Presided over by Algerian President Abdelaziz Bouteflika, Algeria's Council of Ministers has approved the country's 2014 finance bill (PLF 2014), designed to reduce the tax burden in Algeria and to further simplify administrative procedures.

The PLF 2014 provides for economic growth of 4.5 percent in 2014, compared to 5 percent this year, and for inflation of 3.5 percent, against 4 percent in 2013. The text aims to maintain budgetary balance, while at the same time consolidating efforts to boost economic recovery in all areas.

The legislative provisions provided for within the framework of the bill form part of overall efforts to encourage investment, to support youth employment, to promote national production, to reduce the fiscal burden, and to further simplify administrative procedures. Furthermore, the legislation contains measures aimed at supporting the housing sector and regulating external investment and trade.

Finally, the PLF 2014 is intended to respond to the most urgent needs of citizens in Algeria, namely employment and housing, pursuing the policy of national solidarity.

Ahead of the budget presentation, Algerian Finance Minister Karim Djoudi had made clear that the Government would not raise taxes in the PLF 2014. Algerian Tourism Minister Mohamed Bachir Kechroud had also confirmed Government plans to reduce the tax imposed on the profits of travel and tourism operators, by lowering the rate applied to between 19 percent and 25 percent from 2015. The aim of the envisaged tax reduction is to encourage these agencies to promote Algeria as a tourist destination both at home and abroad, to diversify their offer and to reduce their tariffs, the Minister said.

TAGS: tax | investment | budget | corporation tax | Algeria | legislation | tax rates | tax breaks | trade | inflation

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

To manage your mailing list preferences, please click here »