National Agency of
Investment Development
Algeria,
land of investment
©2017
Content
THE 05 ASSETS OF
THE MARKET
The Market
THE 05 SECTORS TO
INVEST IN
PRINCIPLES AND
FOUNDATIONS
The encouragement scheme
INCENTIVES AND AID
The market - Five major assets
1. Size
2. Location
3. Needs
4. Resources
5. Profitability
• local market: 2 381 741 km² with 40 million inhabitants.
• surrounding markets : 125 million inhabitants
•geostrategic position: Direct and rapid access to major
markets : Africa, Europe, Mashrek and Maghreb.
• 47 billion USD of imports in 2015 ( equipment & machines –
buiding materials – agroalilmentary
• Sectors’ development programs.
•Natural : gas - oil - ores - sunshine
•Human : 91 Univ. - 731 professional training schools
• Natural gas : 0,21 to 0,40 euros / thermy
• Fuel: gasoline: 0.33 euros / L - diesel: 0.19 euros / L
• Electricity : 1- 4 euro cents / kWh on average
• Salaries: 180 to 900 euros (MGS is set at 180 euros)
The market - 05 priority sectors to invest in
The New model of economic growth
built around a dynamic of investment and
enterprise development and valorization,
based on a new mode of financing
(namely the market resources, the various
forms of savings.
aims the economy diversification and
competitiveness, oriented towards
substitution to import and increase in
exports.
Relies on the consolidation of
05 priority sectors
development
The market - 05 priority sectors to invest in
AGRICULTURE
Main assets of Algerian agriculture
- Wide variety of agro-climatic environments
- Low use of chemicals
-A large market with the availability, throughout the year and off
season of a wide range of products of High quality products and
even biological.
Agricultural activities to be developed
•Breeding farms
•Seeds and plants
•Milk / Dairy Farms
•agricultural areas
•agricultural mechanization Distribution Forage Crops
•Irrigation systems
•fertilizers
•networks
•cold storage transportation
•Promotion of terroir products
•Slaughter complex
1
The market - 05 strategic sectors to invest in
Industry
2
Major Axis of Industrial Strategy
01. Sectoral deployment of industry: valorization of natural resources,
densification of the industrial fabric and promotion of new industries.
02. Spatial deployment of the industry: the establishment of modern and
intelligent reception infrastructure, and the increase and improvement
of land supply.
03. Industrial development policies: business upgrading, innovation,
human resource development and promotion of investment, including
foreign investment.
04. Identification of the sectors to be promoted, in particular the sectors
with high potential, supported by the international market)
Strategic industrial activities
1. Iron and steel,
2. Hydraulic binders,
3. Mines and ores
4. Electrical and electrical appliances,
5. Industrial chemistry, pharmaceuticals
6. Mechanical and automotive,
7. Advanced technologies,
8. Aeronautics,
9. Shipbuilding and repair,
10. Food processing,
11. Textiles and Clothing,
12. Leather and derivatives
13. Wood and Furniture
Industries
The market - 05 strategic sectors to invest in
Energy - National program
3
The integration of renewable energies into the national energy
mix : a share of nearly 27% in electricity production.
The implementation of renewable energy program : 22 000
MW to be achieved over the period 2015-2030, of which + 4500
MW by 2020.
The distribution of this program by technology activities:
Photovoltaic Solar: 13,575 MW
 Wind energy: 5010 MW
 Thermal Solar: 2000 MW
 Biomass: 1,000 MW
 Cogeneration: 400 MW
 Geothermal energy: 15 MW
A program open to national and foreign public and private
sector investors.
Incentives granted through the National Fund for Renewable
Energies and Cogeneration (FNERC).
The set up of renewable energy capacities
according to he specificities of
each region
The market - 05 strategic sectors to invest in
Tourism
4
Adoption & implementation of The Master Plan for Tourism
Development "SDAT 2030 through :
- The enhancement of Algeria as a Destination;
- The implementation of a Quality Tourism Plan (PQT)
- The improvement of tourist offer development mainly
through investing;
- PPP to strengthen the tourism chain;
The activities to be developed :
- Hotel / Catering / Resort
- Seaside Tourism
- Tourism in Mountains
- Saharan Tourism
- SPA tourism
- Health tourism
-Development and diversification of tourism
-products
- Quality & Brand Development,
& Labeling
The market - 05 strategic sectors to invest in
ICT
5
•Algeria won 9 places in the ITU ranking for the year 2016, moving
from 112th to 103rd place.
•3rd most "dynamic" in the world , and positioned among those
who have made substantial progress
•Very important achievements :
•Terrestrial optical fiber link Algiers / In Guezzam (south),
•03 submarine optical fiber link : totaling 600 Gbs
•Mobile telephony: 03 operators totaling close to 45 million
subscribers and the 3G being in operation since 2014 and
expanded by 2016 to 4G.
•Telecom by satellite: implementation of platforms, offering (VSAT,
IP phone, Videoconferencing, Geo localization etc.), and the
launch in 2017 of Alcomsat-1 satellite, for the Internet
connection.
•Other areas for investment: digital economy, Technology Parks
(Innovation R & D and the ICT industry), Electronic banking, eLearning, e-administration, Telemedicine, Electronic certification,
Data banks security systems, Postal service
modernization, Antennas and satellites,
Space infrastructures,
The Investment support scheme - The foundations
GARANTEES
Transferability of invested capital and income from it
No discrimination between investors
Non-retroactivity of laws
PROTECTIONS
The possibility of administrative and judicial apeal
Possibility of recourse to international arbitration
Membership in various international conventions on
investment guarantee and protection
48 encouragement and protection agreements
ENCOURAGEMENT
Incentives and aids
Support and monitoring
Facilitations
The Investment support scheme - Levels of incentives
Incentives in
ordinary law
Avantages
communs
Incentives decided in the framework of the common law,
in terms of Taxation, Financing, Land charges, and social
charges.
Investments in the production of goods and services not
excluded, according to location (North - South & High
Plateaus
Additional
incentives
Strategic activities ( tourism, industry and agriculture)
Job-creating activities (more than 100 jobs)
Exceptional
incenyives
Investments of national interest. Advantages established
by a convention after approval of the CNI.
The Investment support scheme - Content of incentives
Taxation & parafiscality
Social charges
Reduction in expenses
of contribution to social
security (recruitment of
young job seekers)
exemption up to 10
years (depending on
location and size of
the project) of most
important taxes
A PACKAGE
Financing
Land
Through aid for:
access to local financing of
projects (FWI)
bonuses in interest rates,
guarantees for credits.
 Facilitating access to
land (mutual agreement
form, single vis-à-vis
 reduction in rental
fees, etc.)
They have trusted Algeria and now they’re success stories
And so did portuguese compagnies
NUMBER OF PROJECTS
AMOUNT (Millions US$)
Declared
achieved
Declared
achieved
Declared
achieved
12
8
124
15
4 846
1 343
EMPLOYEMENT
DESIGNATION
TOTAL
Conclusion
Investing in Algeria means:
 Invest in a strategic and safe market, offering interesting
and even attractive comparative advantages,
 Enter to real business opportunities and establish win-win
partnerships
 Invest in sustainability and continuity
 Contribute to the Algerian economy development effort
and be considered as a reliable partner
And remember, for those who see a long way off, Algeria is
closeby.
www.andi.dz
So ? … Deal ?
Thank you for your attention