Management and Direction of Algeria's Natural Gas Exports, a National Strategy for Economic Stability and Strengthening International Relations

Abstract

   This research paper aims to analyze the dynamics of Algeria’s natural gas sector through a sequential analytical approach that links production, energy, and macroeconomic indicators over the period 2014–2025, within an international context marked by a rising economic uncertainty index and intensifying geopolitical tensions. The findings highlight the existence of a structural surplus supported by production flexibility and advanced infrastructure, strengthening Algeria’s position as a reliable energy supplier, particularly amid the contraction of Russian gas supplies to Europe. The study further reveals a clear causal relationship between gas cycles and macroeconomic performance, whereby gas revenues contributed to improving the current account, rebuilding foreign exchange reserves, and maintaining low levels of external debt. At the geopolitical level, the strategic focus on key European markets enhanced Algeria’s bargaining power, despite concentration risks. The paper concludes that natural gas has evolved into a cornerstone of economic stability and sovereignty, necessitating the strategic transformation of gas rents into economic diversification that supports the energy transition and sustainable growth.