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Long-time friends and natural partners

Algeria will work with China to take Arab-China and Africa-China cooperation to new heights

By ZINE BARKA | China Daily Global | Updated: 2024-08-19 09:24
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LI MIN/CHINA DAILY

Established in October 2000, the Forum on China-Africa Cooperation is a platform for political dialogue and a multilateral mechanism for South-South cooperation, based on the principles of equality, mutual trust and mutual benefit.

In this regard, Africa and China have come a long way to achieve a perfect convergence of views and interests, within the framework of a comprehensive strategic partnership that is being expanded and amplified through agreements and treaties.

This is dynamic and concrete testimony that between China and Africa there is a long tradition of friendship, exchanges and cooperation, based on a solid foundation of values and principles of the rejection of colonialism and imperialist domination that was imposed on many African countries at the time.

An example of the spirit of China-Africa friendship and cooperation is the friendly relations between Algeria and China.

The friendship between Algeria and China was formed a long time ago. No business interest was behind this, but a common and shared philosophy of fighting and standing against colonialism and human exploitation which are the solid foundation of the China-Algeria friendship. And this exceptional relationship has grown stronger over the years. The data and the projects undertaken are real proofs of the consolidation of the friendship between the two countries.

Relations between China and Algeria are supported by historical and diplomatic ties and have developed into commercial partnerships as well as having sociocultural aspects. China has provided material support, including a medical team, shipments of wheat, school equipment, and a $50 million low-interest loan in the past decades. More recently, at the beginning of the COVID-19 pandemic in March 2020, China started to deliver much-needed medical equipment to Algeria, including respirators, medical protective clothes and screening kits.

Besides, China contributed to several significant development projects, particularly in construction and infrastructure, such as the new airport of Algiers, buildings of the Ministry of Foreign Affairs and the Constitutional Court, the Olympic Stadium of Oran, the 1,216-kilometer-long East-West highway, and the construction of what is the third-largest mosque in the world.

Trade between the two countries is also flourishing. China has recently surpassed France as the top supplier to Algeria. Algeria endorsed the Belt and Road Initiative in 2018, and both countries signed a three-year cooperation plan for 2022-24. Furthermore, they have recently signed their second five-year plan for the period 2022-26.

The plan aims to further intensify contacts and cooperation between Algeria and China in all fields. The Algerian government is eager to attract FDI by offering generous tax exemptions and other reductions. In July 2022, the New Law No 22-18 for the Promotion of Investment in Algeria was signed. The purpose of this new law is to "lay down the rules governing investment, define the rights and obligations of investors, and establish incentive schemes applicable to investments in the economic activities of production of goods and services, carried out by natural or legal persons, national or foreign, resident or nonresident". Its provisions are designed to "encourage investment to develop priority sectors of activity with high added value, ensure sustainable and balanced territorial development, and enhance natural resources and local raw materials". It also aims to "promote technology transfer and develop innovation and the knowledge-based economy, generalize the use of new technologies, boost job creation, promote the skills of human resources, and strengthen and improve the competitiveness of the national economy and its export capacity".

The most important aspect of this new law is to enshrine "the freedom to invest", as well as "transparency and equality in the treatment of investments". To this end, a High National Committee for Investment attached to the presidency of the republic has been established, which is responsible for deciding on appeals brought by investors.

To consolidate its relations with China, a second five-year plan 2022-26 has been put in place within the framework of comprehensive strategic cooperation. The signing of this strategic plan is intended to be "a strengthening of the comprehensive strategic partnership agreement signed in 2014"and a consecration of the willingness of the two countries to strengthen Algerian-Chinese relations and promote them at the highest levels, in line with the aspirations of the two friendly countries. Algeria has thus become the first Arab country to establish such a level of partnership with Beijing.

During the official visit of the Algerian president to China in July 2023, 19 cooperation agreements and memoranda were signed to further strengthen bilateral relations, covering various sectors such as rail transport, technology transfer, agricultural cooperation and communications, as well as sports, investment and trade cooperation. Other memoranda were also signed in the fields of urban planning, scientific research, justice, social development, renewable energy, hydrogen and other sectors.

On the Arab-African continent, Algeria thinks highly of the important role played by the China-Arab States Cooperation Forum and the FOCAC in advancing Arab-China and Africa-China relations. Algeria will work with China to take Arab-China and Africa-China cooperation to new heights and deliver more benefits to the Algerian and Chinese people.

Among the recent economic projects initiated by the two countries, the Gara Djebilet megaproject is a notable highlight. It is a strategic project for the construction of the iron ore processing plant at one of the largest reserves in the world, with an estimated 3.5 billion tons of ore, entrusted to an Algerian mining industrial group (SONAREM) in partnership with two Chinese consortiums, CMH and Shanghai Delong Steel.

The second megaproject in this region of southern Algeria relates to the construction of the Bechar-Tindouf-Gara Djebilet Railway that stretches 950 kilometers in southern Algeria. This is a huge challenge, both technical and financial, that the country wants to take up in the coming years. The first construction sites have already been launched, with the help of the China Railway Construction Corporation.

Let us conclude by mentioning another aspect of the partnership between Algeria and China, which relates to culture. In July, a Chinese construction company officially set up a project to build the Palace of Culture and Entertainment in a working-class suburb of Algiers.

This is China's second cultural donation to Algeria, after that of the Algiers Opera, which "demonstrates the depth and solidity of this privileged relationship and the sincere friendship between the peoples and leaders of the two countries". This "precious gift "covers an area of 18,000 square meters, and will house several structures including a large reading room, workshops, multimedia rooms, a cinema and three exhibition rooms, in addition to other structures that will be built on the land adjacent to the project, such as a youth center, administrative offices, a children's nursery, technical rooms, handball and football fields, and a square dedicated to outdoor activities.

The author is an emeritus professor at the University of Tlemcen, Algeria, a senior researcher at the China-Africa Economic and Trade Research Institute at Zhejiang Gongshang University and counselor of China-Africa Bridge. The author contributed this article to China Watch, a think tank powered by China Daily. The views do not necessarily reflect those of China Daily.

Contact the editor at editor@chinawatch.cn.

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