Chad and Algeria have signed more than 30 agreements focusing heavily on economic cooperation in the energy sector, with Chadian president hailing a political will to move "from a traditional friendship to a new-generation strategic partnership".
President Mahamat Idriss Déby and Algeria's President Abdelmadjid Tebboune oversaw the signing of 34 bilateral agreements on Thursday, on the second day of Déby's official visit to Algiers, the Chadian presidency said.
The agreements cover a wide range of sectors, including communications, public works, animal health, air transport and higher education. The two countries also signed an interministerial convention to cooperate in the fight against terrorism.
Speaking after the ceremony, Déby said the visit reflected "a clear political will" to move "from a traditional friendship to a new-generation strategic partnership".
Keep up with the latest headlines on WhatsApp | LinkedIn
The most significant measures concern hydrocarbons. A memorandum of understanding was signed between Algeria's state energy firm Sonatrach and Chad's hydrocarbons company (SHT) to build a refinery capable of producing up to 20,000 barrels of oil per day.
The agreement comes as Chad seeks to diversify its economy and attract new investors to develop its natural resources, oil in particular, says economist Djimadoum Mendekor.
"Behind that lies the potential to create jobs," he told RFI. "For a country that lacks industry and jobs, it is important to be able to diversify and increase the number of companies coming to operate in the country."
France and Chad seek to reset ties, one year on from military split
'Little dig at Morocco'
Chad also signed a framework agreement with the Algerian Petroleum Institute aimed at strengthening its oil sector - crucial given the global energy crisis surrounding oil and the Strait of Hormuz, Mendekor noted.
Other memoranda open the way for Algerian factories to be established in Chad in industries such as mining and renewable energy.
For Algeria, the agreements signal a renewed push to strengthen its position in Africa, after similar deals with Niger in February.
How Algeria's diplomatic reset with Niger advances its Sahel strategy
Analyst Michaël Ayari of the International Crisis Group says the move is also aimed at countering Morocco's growing influence in the region, describing it as "a little dig at Morocco given there is signifificant competition between the two countries in sub-Saharan Africa".
Sign up for free AllAfrica Newsletters
Get the latest in African news delivered straight to your inbox
Morocco has also been deepening ties with Chad. Rabat has increased investment projects in the country, particularly in the energy and cultural sectors. Chad has opened a consulate in Dakhla, in Western Sahara.
(With newswires)
