Algeria to Become Arab World’s 4th Largest Economy by 2026, IMF Data Shows Copy link

South Korea has announced plans to send special envoys to three countries — Saudi Arabia, Oman, and Algeria — in a bid to secure alternative crude oil supplies and reduce its dependence on the volatile Strait of Hormuz.

The decision was confirmed by lawmaker Ahn Do-geol following a meeting with South Korea’s energy ministry and other relevant agencies. He also revealed that five Korean-flagged vessels are set to be deployed to Yanbu port in Saudi Arabia, located on the Red Sea, as part of a broader strategy to bypass the strategic strait.

While Saudi Arabia and Oman are traditional energy partners for Seoul, Algeria’s inclusion signals a significant diplomatic and economic outreach by South Korea to North Africa, potentially opening new routes for crude imports. Algeria, a major oil and gas producer and a key OPEC member, could offer South Korea an alternative supply chain through the Mediterranean, bypassing Middle Eastern chokepoints altogether.

The move comes as South Korea, heavily reliant on energy imports, faces mounting pressure from the effective closure of the Strait of Hormuz, which has driven up global energy prices and pushed the government to propose a US$17.2 billion supplementary budget. President Lee Jae Myung has described the economic situation as being on a “wartime footing.”

Meanwhile, domestic energy conservation measures have been issued, including guidelines urging citizens to take shorter showers and charge mobile phones during daytime hours.

In other developments related to the Strait of Hormuz:

A third Turkish-owned vessel, the “Ocean Thunder,” safely crossed the strait on Monday, according to Turkey’s Transport Minister Abdulkadir Uraloğlu. The ship was carrying crude oil loaded from Iraq to Malaysia and passed through the strait overnight. It is the third Turkish vessel to do so since the weekend, reducing the number of Turkish-owned ships still in the vicinity to 12, with eight more awaiting permission to exit alongside their 156 crew members.

Global energy markets are facing mounting uncertainty as disruptions in the Strait of Hormuz intensify following US and Israeli strikes on Iran, according to Anadolu Agency. Although the strategic waterway has not been officially closed, strict Iranian controls have severely limited maritime traffic, with oil tanker crossings dropping by more than 90% on certain days.

The Strait of Hormuz, which accounts for nearly 20% of global oil trade, now sees up to 15 million barrels of crude oil per day at risk. This situation has driven oil prices from around $70 to $120 per barrel, while natural gas prices in Europe have nearly doubled amid growing supply concerns.

Despite attempts by the International Energy Agency (IEA) to stabilize markets through the release of emergency reserves, volatility persists, highlighting the fragility of global energy supply chains.

In this context, Türkiye is emerging as a key alternative transit corridor. With existing infrastructure such as the Kirkuk-Ceyhan pipeline and new proposals to transport gas from Qatar and Iraq toward Europe, Ankara is positioning itself as a strategic hub linking the Middle East, the Caspian region and European markets.

However, experts caution that alternative routes remain limited in capacity and cannot fully compensate for disruptions in Hormuz in the short term. As a result, global markets remain vulnerable, while attention increasingly turns toward diversified energy sources, including pipeline gas from regions such as North Africa.

Source: Anadolu Agency

Algeria has achieved a notable milestone at both continental and global levels, ranking first in Africa in the 2026 Resilient Food Systems Index (RFSI), published by Economist Impact. The country placed 32nd worldwide with a score of 64.66 points, in an index that measures nations’ ability to ensure stable food availability and accessibility despite accelerating global challenges.

This ranking highlights Algeria’s growing position in the field of food security, as it has succeeded in building a food system capable of adapting to economic fluctuations and disruptions in global supply chains, amid an international context marked by increasing climate and geopolitical instability.

Growing capacity to withstand crises

According to the report, Algeria topped the African rankings, ahead of South Africa, which ranked 38th globally with 62.65 points, and Egypt, which came 39th with 62.18 points.

The index underscores Algeria’s strong capacity to cope with global supply chain challenges, particularly in the face of price volatility and trade disruptions. This performance reflects public policies focused on boosting domestic production, improving distribution mechanisms, and ensuring the availability of essential food products at affordable prices.

It also indicates steady progress in food security and sustainable development indicators. Algeria has previously achieved advanced positions in similar international reports in recent years, reinforcing its status as a regional player in this strategic sector.

At the Arab level, Algeria ranked fourth, behind countries such as Qatar and Saudi Arabia, in an index that evaluates 60 countries worldwide based on 71 quantitative and qualitative indicators.

Globally, Portugal topped the rankings with 76.83 points, benefiting from its agricultural diversity and policies supporting healthy food systems. The report also revealed a gap of more than 40 points between the most resilient and the most vulnerable food systems, highlighting the scale of challenges still facing many countries.