Algeria maintains upper-middle-income status in World Bank classification

This places Algeria among eight African states in this category, which includes economies with a gross national income GNI per capita, calculated using the Atlas method, between $4,636 and $14,375 annually. The World Bank updates this classification annually on July 1st, using it as an international benchmark for comparing economies and guiding financing and technical assistance policies. The new thresholds for 2026-2027 account for global inflation and adjustments to the Atlas method, which smooths exchange rate fluctuations for a more stable GNI per capita measurement.

In North Africa, Algeria and Libya are classified as upper-middle-income countries, while Morocco, Tunisia, and Egypt remain in the lower-middle-income category. Algeria's GNI per capita is approximately $6,051, exceeding the $4,636 minimum for the upper-middle-income category. The World Bank emphasizes that this classification is based on GNI per capita, not GDP, and considers wealth produced by residents, including income earned abroad.

The Atlas method mitigates the effects of exchange rate variations and inflation for reliable comparisons. The classification divides countries into four categories: low-income, lower-middle-income, upper-middle-income, and high-income. The World Bank clarifies that this classification is a statistical tool for comparing countries based on GNI per cap