This article examines the origins of Algeria's state-led developmental model and assesses its economic performance. It examines past development efforts since 1962, and analyses the present context of the Algerian economy. The article provides an alternative development paradigm for Algeria based on the developmental state perspective, concluding that strategic industrial policy needs to come to the centre stage, where it belongs, if sustained local production growth and diversification, competency upgrading, and overall competitiveness improvement are to be aggressively pursued.
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