CHAPTER FOUR: ECONOMIC GOVERNANCE AND MANAGEMENT
454.
Outside of the report, information is not readily available and is often
published too late, especially data from certain sectors, such as health, and
indicators, such as the Gini index, which was last provided in 2005. Also,
findings need to be formally reconciled with the Department of Forecasting
and documented. Secondly, the informal sector is not adequately observed,
which means that assessments are not satisfactory for this large sector of the
national economy. Another important factor is the independence and status of
the National Bureau of Statistics, a public establishment that has called for a
reassessment of the national statistics systems in the light of improved systems
being practised in Africa and worldwide. The independence of the Bureau is
provided for by law, and price indices are sent simultaneously to the press and
to the Ministry of Finance. There are, however, a number of vulnerable areas
(traditional bureaucracy, uninspiring salaries leading to massive brain drain,
etc.) that might continue to defer the day this important organisation, with its
mandate to measure the social and economic development of the country, will
attain international standards. Once these deficiencies have been corrected, the
national and international private sector will have a tool that provides a
credible reading of findings and forecasts of the national and international
economy.
455.
Sectoral and micro-economic policies. A sound macro-economic framework
is not enough to create growth and development if dynamic sectoral policies
do not support the buoyant areas of the economy, vital functions are not made
attractive, limiting factors are not corrected and vulnerable sectors are not
reinforced. This type of instrument is meant to strengthen the participation of
social and economic stakeholders, after which, through their own initiative,
they would take over the creation of income-generating opportunities to the
benefit of the entire country, under the regulatory eye of the state.
456.
Faced with the need to accelerate growth and advance towards development,
one cannot say that the Algerian government has done nothing or little.
However, it cannot be said either that the actions taken have to date produced
successes warranted by the investments made. Some explanations for these
limited achievements, as noted by the CSAR, are specific to each area and
others are of a more overarching nature.
457.
The CRM noted that there was generally little functional analysis of recurrent
weaknesses, constraints, handicaps and difficulties encountered in the various
areas of activity, which justified state intervention. State intervention usually
takes the almost mechanical form of public response (agencies and funds) to
problems that generally required analysis before diagnosis and identifying
appropriate action. The CRM also noted that action is not focused on precise
objectives and relevant indicators, which would help assess the achievement of
expected results and the quantitative and qualitative performance of structures
and instruments put in place. Although the report recommends assessment of
the use of public funds, it does not indicate the results achieved in the area of
investment promotion.
147
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