With the past still weighing heavily on political relations between France and Algeria, Sarkozy instead focused on cementing close economic ties with the oil producing Arab country.

In four speeches during the trip Sarkozy denounced a "deeply unfair" colonial system and said France was ready to "face up" to its past role. But hours after returning to France, he hailed the thousands of Algerian Muslim harkis who fought alongside French soldiers during the Algerian war of independence.

He sealed a rash of energy, transport and construction deals worth over $7 billion involving French firms including Total SA, Alstom and Gaz de France.

"I did not come here to deny the past. But I came to tell you the future is more important," he told students at Mentouri university in the city of Constantine on Wednesday.

The very fact the trip went ahead was seen by some diplomats as a victory. Comments from an Algerian minister attributing Sarkozy's May election to a "Jewish lobby" and hostile comments from officials about Sarkozy's refusal to apologise for colonial abuses led to fears the visit could be cancelled.

Comments in Algeria's press summing up the trip suggested Sarkozy's words had fallen well short of expectations.

"Instead of a frank recognition and, most of all, an unconditional condemnation of the crimes committed by colonial France, the French president dished out a declaration that was sterilized, lifeless, if not downright insidious," said daily El Watan.

WAR LEGACY

Back at home, Sarkozy said France must pay tribute to the 260,000 harkis who fought with French forces in the 1954-1962 war. It cost hundreds of thousands of lives -- Algiers says 1.5 million -- before independence, and many French also perished.

After France quit the country only about 20,000 were able to flee across the Mediterranean and obtain French citizenship.

Several hundred thousand harkis or their descendants now live in France and are claiming 40 billion euros in compensation for lost possessions and mental distress.

"The cause of the harkis is a sacred cause because we cannot hold them responsible for having believed in France's word," Sarkozy said. But his comments fell short of an electoral promise to officially recognise France's responsibility in the "abandon and massacre of the harkis".

But in Algeria Sarkozy, known by many young Africans for his hardline stance against illegal immigration, called for a common migration policy allowing young people from both countries to travel more easily to study and work.

"At the end of the day, friendship will be the work of young Algerians and young French," he said.

France signed a deal to give the North African country civil nuclear technology, the first of its kind between France and an Arab Muslim state.

The deal, covering power generation and applications of nuclear technology in agriculture, biology and water resources, must first be endorsed by the European Union.

"Algeria and France must trust one another," said Sarkozy. "The civil nuclear cooperation accord that both countries have signed was a mark of the trust France has in Algeria."

Algerian commentators say political ties remain hostage to the past, a subject dear to the current Algerian leadership, most of whom took part in the struggle against France.