Algeria"s government has approved a historic $25 billion military allocation for its 2026 draft budget, marking the highest military budget in the country"s history. This allocation represents nearly 25% of total public spending.
The military budget has increased from $24 billion in 2025, reflecting the country"s response to escalating tensions in the Sahel region, including threats from jihadist groups and instability in neighboring Mali and Niger. Despite a projected $40 billion fiscal deficit due to declining oil prices, Algeria is enhancing its defense capabilities.
The draft budget is currently awaiting parliamentary approval, which is expected in the coming days.
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