Algeria boasts a dynamic economic fabric, with over 1.65 million companies registered in the commercial register by the end of November 2024. However, this economic activity is heavily concentrated in certain regions of the country.
This was revealed by the Minister of Domestic Trade and National Market Regulation, Tayeb Zitouni, during the inauguration of the 32nd National Production Fair.
According to the minister, eight wilayas – namely Algiers, Oran, Sétif, Blida, Tizi Ouzou, Constantine, Boumerdès, and Béjaïa – alone account for nearly 50% of the country’s productive economic fabric.
The wilaya of Algiers leads this ranking, hosting 17.26% of the productive economic fabric. It is followed by Oran (6.79%), Sétif (6.13%), Blida (4.37%), Tizi Ouzou (4.26%), Constantine (3.85%), Boumerdès (3.70%), and Béjaïa (3.55%).
This geographic concentration raises questions about the balance of economic development across the national territory.
Algerian authorities are thus called upon to implement incentive policies to encourage investment in less developed regions and to diversify economic activities at the local level.
Focus on the North: 20 Wilayas Concentrate Most Investment Projects in Algeria
Moreover, Minister Zitouni highlighted that investment projects are primarily concentrated in 20 wilayas in the northern part of the country. This situation underscores the need to better direct the location choices of these projects to create investment hubs throughout the territory and foster a more balanced business environment.
Despite this geographic concentration, Algeria’s economic fabric shows diversity. Indeed, 70% of investment projects are distributed across 72 commercial activities, demonstrating the vitality of the Algerian market in various fields.
To strengthen the national economy, Algerian authorities plan to:
- Promote Local Industry: By encouraging the manufacture of production inputs, Algeria aims to increase added value and reduce its dependency on imports.
- Support Promising Sectors: The economic census of national production will help identify the most promising sectors and guide investments accordingly.
- Develop Exports: With over 1,800 permanent exporters, Algeria has export potential. The country aspires to enhance its presence in international markets.
The 32nd National Production Fair is an opportunity for Algerian companies to showcase their products and services and forge new partnerships. It is also a privileged moment to assess the progress made and define future prospects.
