Constructing a composite index for good governance in Algeria for the period 2002-2020

Abstract

This research aims to try to Construct a comprehensive composite index of good
governance in Algeria based on sub-indicators recently approved by the World Bank. The research
discussed, through analysis, the characteristics, principles and indicators of good governance and
its dimensions. A mathematical economic model was also developed to measure the composite
index of good governance using the ACP method and cluster analysis, to be applied to the
governance indicators in Algeria for the period 2002-2020.
The results showed that the index of good governance in Algeria is led by two main factors;
The first factor can be called legal rules and organizational and administrative frameworks, while
the second factor can be called political stability, civil liberties and corruption. The composite
index that we estimated showed negative and mostly weak results, which indicates that Algeria still
has a long way to go to improve the institutional environment and activate the mechanisms of good
governance to ensure the achievement of the desired development goals