Algeria

April 2007 | Risk Summary

While we believe that a return to civil conflict remains a distant possibility for Algeria, particularly given lack of public appetite and the low numbers of active fighters, there are nevertheless significant risks to political stability. With high levels of unemployment, an acute housing shortage and ongoing Islamist militant agitation, the country is still on a precarious transitional state. As such, moves by banned former FIS members to push for a political party is somewhat worrying, particularly given widespread suspicion in some quarters that Islamists released under the amnesty are re-grouping to launch a fresh round of resistance.

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