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In the North African region, efforts to boost trade through regional trade agreements are wide spread. The aim of this study is to provide empirical evidence from Algeria and the European Union Regional Trade Agreement (Algeria-EU RTA) on the impact of such agreements on developing countries’ foreign trade and economic welfare. This study involves both ex-ante and ex-post analyses. It is based on a quantitative assessment using the Lloyd and McLaren model and a descriptive analysis evaluation using a Vinerian Approach. Both ex-ante and ex-post analyses demonstrated that the agreement has positively influenced Algerian trade behaviour and led to an increase in economic welfare (non-oil).

Regional Trade Agreements and Developing Countries’ Trade Performance: Evidence from Algeria and the European Union Association Agreement