Analysis of the trend of household savings in the Algerian economy An Econometric Study during the period (1970-2016)

Abstract

This study seeks to reveal the trend in the development of household savings in the Algerian
economy during the period 1970-2016. We review the statistical analysis of the available data using internal
interpolation models. To this end, the extrapolation method was used. The results of the economic analysis
indicate that the rate of household savings in Algeria represents about 20.26% of their available income,
Moreover; it contributes about 38% to efforts to mobilize national savings in Algeria. These figures reflect
the importance of family savings, which makes it a source of funding for the national economy, which is
finally stymied by the severe financial crisis caused by the decline in oil prices since Mid-2014. However,
these ratios may not hold up much in the future as a result of the shift in the economic habits of most
Algerian families, especially with the rising cost of living and the inability of household income to keep
pace with the high prices that included most products and services, and this is demonstrated by the results of
the econometric analysis by demonstrating a trend that is known to fluctuate and at the foreseeable level
leads to a slowdown in the movement of these savings.