Table of Contents

 Section                                                       Page

 Executive Summary                                              1

 II.  Leading Trade Prospects                                   2

 III.    Economic Trends and Outlook                            3
         Principal Growth Sectors                               4
         Government Role in the Economy                         5
         Balance of Payments Situation                          6
         Trade and Investment Barriers                          6
         Labor Force                                            7
         Major Local and Third Country Competitors              8
         Infrastructure Situation                               8


 IV.  Political Environment                                    10
      Political Conditions                                     10
      Major Political Issues Affecting U.S. Business           10
      Relations with U.S.                                      11

 V.   Marketing U.S. Products and Services                     11
      Distribution and Sales Channels                          11
      Use of Agents and Distributors                           12
      Franchising, Joint-Ventures and Licensing                13
      Establishing an Office in Algeria                        13
      Advertising and Trade Promotion                          13

 VI.  Trade Regulations and Standards                          15
      Export Controls, Free Trade Zones                        16
      Membership in Free Trade Arrangements                    16

 VII.  Investment Climate Statement                            17
       Openness to Foreign Investment                          17
       Investment Registration Procedure                       18
       Hydrocarbon Investment                                  18
       Conversion and Transfer Policies                        19
       Foreign Exchange Access                                 19
       Expropriation and Compensation                          19
       Dispute Settlement                                      19
       Performance Requirements and Incentives                 20
       Protection of Property Rights                           20
       Regulatory System                                       21
       Efficient Capital Markets                               21
       Political Violence                                      21
       Bilateral Investment Treaties                           22
       OPIC Programs                                           22

 VIII. Trade and Project Financing                             23
       Banking System                                          23
       Financing, Export Import Bank Financing                 24
       List of Banks with Correspondent Arrangements           24

 IX.   Business Travel                                         25
       Currency Regulations                                    25
       List of Local Holidays in 1994                          25

  Appendices                                                   27-41                            EXECUTIVE SUMMARY