The Jamestown Foundation's Terrorism Focus, 5 Aug 08:

Restructuring al-Qaeda’s Algerian Insurgency
Al-Qaeda in the Islamic Maghreb (AQIM), the North African branch of al-Qaeda, has been driven to the wall. Despite a new suicide attack that injured 25 on Sunday morning in Tizi Ouzou, Kabylie, the Algerian-based group is facing difficulties that could endanger its very existence. The number of militants is shrinking due to continuous military operations and difficulties in recruiting new volunteers. International anti-terrorism cooperation is also drying up sources of financing.

Since the beginning of 2008, Algerian authorities, with the help of neighboring countries, have arrested or killed more than 200 AQIM members, according to security sources. The great majority of these individuals were affiliated to support networks, while about thirty were active terrorists.

The strategy of the People’s National Army (Armée Nationale Populaire - ANP) to focus mainly on key figures of AQIM has proven largely successful.....