After a century of rule by France, Algeria became independent in 1962. The surprising first round success of the fundamentalist FIS (Islamic Salvation Front) party in December 1991 balloting caused the army to intervene, crack down on the FIS, and postpone the subsequent elections. The hydrocarbons sector is the backbone of the economy, accounting for roughly 52% of budget revenues, 25% of GDP, and over 95% of export earnings. Algeria has the fifth-largest reserves of natural gas in the world and is the second largest gas exporter; it ranks fourteenth for oil reserves.

PEOPLE
Ninety-one percent of the Algerian population lives along the Mediterranean coast on 12% of the country's total land mass. Forty-five percent of the population is urban, and urbanization continues, despite government efforts to discourage migration to the cities. About 1.5 million nomads and semi-settled Bedouin still live in the Saharan area. According to the National Office of Statistics (ONS) the data for the year 2002 indicate that 75% of the Algerian population is below 30.

HISTORY
Since the 5th century B.C., the indigenous tribes of northern Africa (identified by the Romans as "Berbers") have been pushed back from the coast by successive waves of Phoenician, Roman, Vandal, Byzantine, Arab, Turkish, and, finally, French invaders. The greatest cultural impact came from the Arab invasions of the 8th and 11th centuries A.D., which brought Islam and the Arabic language.

ECONOMY
The hydrocarbons sector is the backbone of the Algerian economy, accounting for roughly 60% of budget revenues, nearly 40% of GDP, and over 95% of export earnings. Algeria has the fifth-largest reserves of natural gas in the world and is the second-largest gas exporter; it ranks 14th for oil reserves. Its key oil and gas customers are Italy, Spain, France, and the United States. U.S. companies have played a major role in developing Algeria's oil and gas sector; of the $2.5 billion in U.S. investment in Algeria, the vast bulk is in the petroleum sector.

U.S.-ALGERIAN RELATIONS
In July 2001, President Bouteflika became the first Algerian President to visit the White House since 1985. This visit, followed by a second meeting in November 2001 and a meeting in New York in September 2003, is indicative of the growing relationship between the United States and Algeria. Since the September 11, 2001 terrorist attacks in the United States, contacts in key areas of mutual concern, including law enforcement and counter- terrorism cooperation, have intensified. Algeria publicly condemned the terrorist attacks on the United States and has been strongly supportive of the international war against terrorism.