Algeria-mali trade : the normality of informality

Joint Authors

Bani Isa, Sami
Brockmeyer, Anne
Pellerin, Mathieu
Raballand, Gael

Source

Economic Research Forum : Working Paper Series

Issue

Vol. 2015, Issue 901-975 (31 Dec. 2015), pp.1-38, 38 p.

Publisher

Economic Research Forum for the Arab Countries Iran and Turkey

Publication Date

2015-12-31

Country of Publication

Egypt

No. of Pages

38

Main Topic

Commerce
Political Sciences

Topics

Abstract EN

This paper estimates the volume of informal trade between Algeria and Mali and analyzes its determinants and mechanisms, using a multi-pronged methodology.

First, we discuss how subsidy policies and the legal framework create incentives for informal trade across the Sahara.

Second, we provide evidence of the importance of informal trade, drawing on satellite images and surveys with informal traders in Mali and Algeria.

We estimate that the weekly turnover of informal trade fell from approximately US$ 2 million in 2011 to US$ 0.74 million in 2014, but continues to play a crucial role in the economies of northern Mali and southern Algeria.

We also show that official trade statistics are meaningless in this context, as they capture less than 3% of total trade.

Profit margins of 20-30% on informal trade contribute to explaining the relative prosperity of northern Mali.

Informal trade probably plays a strong role in poverty reduction, especially in the Kidal region.

Finally, we provide qualitative evidence on informal trade actors and the governance and social impacts of informal trade in North Mali and South Algeria.

American Psychological Association (APA)

Bani Isa, Sami& Brockmeyer, Anne& Pellerin, Mathieu& Raballand, Gael. 2015. Algeria-mali trade : the normality of informality. Economic Research Forum : Working Paper Series،Vol. 2015, no. 901-975, pp.1-38.
https://search.emarefa.net/detail/BIM-627498

Modern Language Association (MLA)

Bani Isa, Sami…[et al.]. Algeria-mali trade : the normality of informality. Economic Research Forum : Working Paper Series No. 901-975 (Dec. 2015), pp.1-38.
https://search.emarefa.net/detail/BIM-627498

American Medical Association (AMA)

Bani Isa, Sami& Brockmeyer, Anne& Pellerin, Mathieu& Raballand, Gael. Algeria-mali trade : the normality of informality. Economic Research Forum : Working Paper Series. 2015. Vol. 2015, no. 901-975, pp.1-38.
https://search.emarefa.net/detail/BIM-627498

Data Type

Journal Articles

Language

English

Notes

Includes appendices : p. 22-38

Record ID

BIM-627498