(Ecofin Agency) - Algeria’s Prime Minister, Abdelmalek Sellal, announced on April 6 that the projet for the construction of a car-manufacturing plant led by French firm PSA Peugeot Citroën in Algeria will we concretized before the end of 2017. The project has been halted since October 2015.

“Regarding the Peugeot PSA project, I confirm that it will be effectively developed this year,” said Sellal at a joint press conference with French Prime Minister Bernard Cazeneuve visiting Algiers.

Let’s recall that the PSA car-manufacturing plant was announced in October 2015 but the official signing of the contract for the project which was set to take place on April 10, 2016 on the sidelines of a visit from France’s former Prime Minister, Manuel Valls, was reported, to an unknown date.

Algeria’s PM however later explained that the project was delayed due to government’s will to “re-balance” its projects aiming to boost local production. “We are studying the car industry and conducting an audit to re-balance our projects,” he said at the time.

Sellal also denounced during the press conference with its French counterpart lower investments from France in Algeria over the past three years.

“I must mention the issue of lower investments from France in Algeria over the past three years as it goes against our common ambition for a strategic partnership, particulary in the industrial sector,” said the official.