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Significance

Total spending is set to rise by 10%, with defence rising by 14% and accounting for one fifth of total expenditure. The increase will enable major arms purchases from Russia and China, which have already been agreed. Higher defence spending has been made possible by higher oil prices and larger gas exports to Europe.

Impacts

US-Algerian cooperation could grow on security and counter-terrorism matters.

Defence procurement aside, tensions could rise in Algerian-Russian ties due to the latter's role in North Africa and the Sahel.

Parliament will likely remain uncritical of high defence spending.

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