U.S. Department of State Country Reports on Terrorism 2005 - Algeria

Algeria made impressive gains against terrorist groups operating in the country, particularly the Salafist Group for Preaching and Combat (GSPC). Algerian officials publicly condemn international terrorism but make a distinction between terrorism and what they consider legitimate armed resistance by HAMAS, Palestinian Islamic Jihad, and Hizballah, in the occupied territories.

According to Algerian authorities, fewer than 800 terrorists remained active in Algeria, down from the estimated 28,000 terrorists in the mid-1990s. The government's success in capturing or killing a number of GSPC terrorists further weakened the effectiveness of this group. Though the remaining GSPC members continued to be quite active and engaged in low-level attacks in several areas across the country, the group has lost considerable public sympathy following its July congratulatory message to al-Qaida on the killing of two abducted Algerian diplomats in Iraq. As a sign of the waning effectiveness of terrorist organizations in Algeria, terrorism analysts from the African Union (AU) Center for Study and Research on Terrorism, based in Algiers, now consider terrorism to be more a threat against public safety than a strategic threat to Algeria's national security.

President Bouteflika announced a Charter on Peace and National Reconciliation in August and a referendum took place at the end of September. The Charter was designed to serve as a mechanism to heal the nation. It encouraged terrorists and their sympathizers to turn themselves in and, in some cases, reintegrate into society (excluding those involved in rapes, massacres, or public bombings). In reaction to the announcement and ensuing vote, which according to the government passed with 97 percent approval, the GSPC increased attacks in August, September, and October. More than 118 government security personnel and civilians were killed, and 110 terrorists were killed or arrested during these three months. In comparison, 142 government security personnel and civilians were killed, and 285 terrorists were killed or arrested, in the previous seven months. The Algerian Government did not release details on the legal mechanisms for putting the Charter into practice.

During the past year as its base of support shrunk at home, the GSPC sought to align itself with al-Qaida and other extremist groups, adopting some of their tactics and activities. Using lessons from Iraq and wanting to reduce the level of casualties sustained in direct confrontation with Algerian security services, the GSPC carried out attacks using roadside improvised explosive devices (IEDs). In one attack on September 14, GSPC terrorists killed three Algerian soldiers and wounded two others in a military vehicle near Boumerdes by remotely detonating a roadside IED. Some Algerian terrorists became more active internationally. In October, an Algerian wanted in Britain for alleged connections to the July 7 London bombings was jailed for three years in Bangkok for forging passports. In November, Spain approved extradition of two Algerian men for links to terrorism, and Italian police arrested three suspected Algerian Islamic extremists on suspicion of aiding and abetting international terrorism.

The GSPC was active regionally in the Pan-Sahel area. The group conducted smuggling activities between Algeria and neighboring countries, as well as limited attacks. In recognition of this threat, the U.S. Government created the Trans-Sahara Counter Terrorism Initiative (TSCTI). This initiative aims to combat terrorism from a regional perspective and to foster cooperation between Maghreb countries. To date, the initiative has helped the U.S. military assess more accurately the terrorist threat within the participating countries and allowed the USG to aid those countries in focusing their efforts on neutralizing those threats. (See the Africa section earlier in this chapter for further information on the TSCTI.)

Algeria's fledgling Financial Investigative Unit (FIU) task force continued to make progress. Various banking institutions sent five reports to the committee for review. To date, no accounts linked to terrorist financing have been discovered in Algeria. Legislation was passed that required all transactions valued at more than 50,000 dinars ($685) to be conducted by check, money order, wire transfer, or other forms of non-cash payment in order to combat money laundering, informal market activities, and terrorist financing.