"There is a definite attempt to reinforce Bouteflika's clan structure in the government, to make it appear more active and credible," said Kal Ben Khalid, an Algeria analyst who writes a North Africa blog called The Moor Next Door.
The move comes after Algeria's prosecutor issued an arrest warrant in August for a former energy minister and Bouteflika ally Chakib Khelil on corruption charges; the move was considered a direct challenge to the president.
"They want people to believe Bouteflika now has the initiative," said Ben Khalid.
Bouteflika's close friend Tayeb Belaiz, head of the constitutional council, was named interior minister, a key position controlling security forces.
Army chief of staff Ahmed Gaid Salah, who has often appeared with the 76-year-old Bouteflika since his illness, was made vice-minister of defense.
Ramtane Lamamra, a diplomat with wide experience in Africa as well as the U.N. has become the new foreign minister.
Geoff Porter of the North Africa Risk Consulting said that the Cabinet reshuffles mean Algeria is finally moving again after months of paralysis even on key projects during Bouteflika's illness.
"Whatever the ideological and political implications of the shuffle, Algeria's diplomatic partners, whether the U.S., France the EU, Tunisia and the business community have to welcome this development because it does break the deadlock," he said. "It breaks the policymaking paralysis since the end of April."
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Schemm reported from Rabat, Morocco.
