Algeria walks economic tightrope as oil falls

ALGIERS (Reuters) - For months, Algerian officials repeated their mantra that large foreign exchange reserves would shield the country from collapsing oil prices. Last week, Prime Minister Abdelmalek Sellal took to state television to announce what most already knew - that crisis was at the door.

With crude prices having more than halved since June, Algeria must plot a precarious path of curbing high public spending without eating into a generous welfare budget that has helped stave off widespread social unrest.