Exporting to Algeria

Algeria. People’s Democratic Republic of Algeria

Opportunities for Spanish companies in Algeria

Strong points

Algeria’s proximity to Europe favours the delocalisation of energy-consuming industrial activities, as well as commercial exchanges.

  • Facilities provided by the Government.
  • Five-year government plans for developing the Algerians‘ country and well-being.
  • Qualified, young and competitive labour.

Weaknesses

  • The economy depends completely on income from oil (98% of its exports), which makes it very vulnerable.
  • The Administration is very slow in performing administrative processes.
  • Generalisation of the 49/51 rule, in force since 2009, which requires there to be a majority percentage of resident Algerians in any foreign investment project.
  • Access to territorial industrial tax.

Investments

Appealing investment opportunities in a large number of sectors:

  • Prevention of tax evasion in the field of recovery of income and wealth taxes.
  • Right to transfer the company’s profits after the close of the financial year and payment of corporate income tax (IBS).The foreign party has to pay a 15% tax on the amount to be transferred.
  • There are exemptions in payment of corporate income tax (IBS) and professional activity tax (TAP) for any investors who create over 100 new jobs of work.
  • Forms of aid for investment through public and private institutions with a programme for investment through public and private institutions with a programme for the more burdensome public sector and with advantages.

Prospects

  • Good prospects in the medium term with the increase of exports beyond hydrocarbons.
  • Weakness of the currency. Weaknesses of exchange reserves.
  • Prospects for development of renewable energies, tourism and agriculture.

Outlook

  • Growth of GDP in 2014 by 5% and good prospects in the medium term.
  • Weakness of the currency.
  • Good exchange reserves: 191.866 M USD at end 2013.
  • Growth prospects in infrastructures and in all business sectors.

 

Find us at

Algeria

Lot Piette 1, Rue No 10, Le Paradou – Hydra
Algiers
Tel.: (+213) 23485574

 

Contact

Banco Sabadell in Algeria

The representative office, opened in 2004, had the privilege of being the first Spanish financial institution in Algeria.

It benefits from a lengthy operative and commercial experience and has in-depth knowledge of the Algerian financial system. Banco Sabadell in Algeria is a member of the Algerian- Spanish Circle of Trade and Industry (CCIAE) and has very good relations with the main public and private agents and bodies.

Services

  • Professionalism and quality service.
  • Support for Spanish companies or their subsidiaries in Algeria, interested in foreign trade operations or investment, introducing them to local banking.
  • Monitoring banking transactions.
  • Cooperation with Spanish companies participating in commercial and economic missions, arranging meetings and visits to suit their needs.