General Information

Doing business in Algeria requires investing time in particular to learn about the regulatory environment and monitor the developments of each new finance law and amendments.

With regard to location, the 49/51 rule was repealed in 2020 for resident commercial companies operating in a sector of activity considered non-strategic. It is essential to rely on a local firm for the formalities of incorporation of a company.

Import regulation is complex and has undergone several successive changes in recent years. The organisation, ALGEX, in place since 2001 which was a mandatory passage for all Algerian importers to obtain an import licence was closed in April 2025. It should be replaced by 2 agencies, one dedicated to import, the other to export.

However, the logic remains the same to give priority to structuring projects, to encourage local production and to limit imports in a context of budgetary restrictions and exchange controls.

While Algeria offers many opportunities thanks in particular to oil revenues, it should not be forgotten that competition is present and that the quality of personal relationships is an important factor. The political relationship between Algeria and France must also be taken into account.

Means of payment & banking specificities

Under current regulations, payment for imports can be made by documentary credit, documentary remittance or transfer. In practice, the deposit is authorised up to 15% against the issuance of a deposit refund guarantee.

Regardless of the method of payment, all imports of goods or services must be domiciled at an authorised establishment in Algeria. The certificate of free movement is required for any request for domicile.

A regulatory provision requires economic operators to insure imports from insurance companies authorised in Algeria. Furthermore, the FOB incoterm has been strongly recommended since 1 January 2020 and its use is now largely predominant in imports.

Regardless of the regulatory aspect, it is strongly advised to stay within the framework of a secure payment via a confirmed documentary credit.

In the event that a client still uses the documentary delivery and that it remains unpaid, it is absolutely necessary to indicate the number of the banking agency concerned during interventions with the Algerian presenting bank.