Set Up Business in Algeria Together with Business Registration
Highly populated in the coastal areas, Algeria also makes up part of the Saharan desert. Algeria is rich in petroleum and is the third producer of natural gas. As such, you want to know more about this laden country to set up a business in Algeria.
With deep wells of black liquid gold, Algeria enjoys strong economic performance for years on end. Its people belong to the upper-middle-income bracket. Thus, creating a ripple effect on businesses operating in the country. With a nominal GDP of close to USD170 million, Algeria has an extensive safety net when it comes to meeting social demands.
Although Algeria has a long history and influence of many different cultures, it is a modern country that even conforms to international standards. Its infrastructures are functional and comfortable for everyone to occupy and experience. It has high connectivity to neighbouring countries as well as sixteen international airports. Most of its daily consumables are imported from other parts of the world or their trading partners. Hence, the Algiers are open towards foreign businesses opening up shop in their territory.
Specific Sector Development
With a safety cushion of hydrocarbon, Algeria is actively diversifying its economic sectors. Algeria plans to develop the following industry: metalworks, electrical appliances, mechanical and automotive, pharmaceutical production, aerospace, construction and ship repair, food processing, clothing, timber products and mining. Tourism and agriculture are other specific sectors in the pipeline for development. The newer industries that will attract the younger generation are renewable energies and the development of technology. The government of Algeria is looking at a private-public partnership to strengthen these sectors.
As a foreign business owner, there will doubt of what the foreign country could offer. As for Algeria, it is ready to provide tax exemptions of up to ten years. Though it depends on the location and the size of the project involved. If you were to form a company in Algeria, you could obtain other benefits such as:
- Reduced contribution to social security fund with the recruitment of young jobseekers
- Lifetime tax exemptions for export projects or businesses
- Five years tax exemption on companies benefit tax, global income tax, and tax on turnover for specific industries as mentioned above
If financing the business or project is stressing you out, worry no more. In attracting investments to develop its sectors, Algeria will assist you in financial support in every way possible. Local or foreign SMEs are welcomed to enquire about the investment funds and Credits Guarantee Funds. With low-interest rates, getting your business on the right track should now be a priority.
If you are looking to hire Algerians, their workforce is young and qualified. Education is mandatory in Algeria. Thus the country has a high literacy rate. You can have the option of hiring young professionals as well as skilled labour. Another bonus for companies hiring, the labour wage in Algeria is also competitive.
If you want to know more, contact our team and we will guide you.