Algeria's pharmaceutical and healthcare expenditure will continue to expand over the forecastperiod, creating renewed commercial and investment opportunities for drugmakers and health sectorproviders. The large and expanding population, as well as rising chronic diseases, will continue to operateas a draw for innovative drugmakers. Despite economic deceleration, the government will continue toprioritise its long-term goal of becoming a global drug manufacturing hub, providing incentives toinvestment. In fact, drug import and market access restrictions will continue to underpin Algeria's profile asa high-risk market for multinational drugmakers, particularly for companies that do not manufacturelocally.
Headline Expenditure Projections
Pharmaceuticals: DZD404.76bn (USD3.70bn) in 2016 to DZD434.00bn (USD3.77bn) in 2017; +7.2%in local currency and +1.8% in US dollar terms. Forecast in line with the last quarter.
Healthcare: DZD1.29trn (USD11.84bn) in 2016 to DZD1.38trn (USD12.02bn) in 2017; +6.9% in localcurrency and +1.5% in US dollar terms. Forecast in line with the last quarter.
In July 2017, a report on the global investment climate by the US State Department stated that Algeria isa lucrative market with significant long-term potential for American companies across several sectors,including the health sector.