As tensions between France and Algeria continue to escalate, the French business community in Algeria is sounding the alarm.
Michel Bisac, president of the Algerian-French Chamber of Commerce and Industry (CCIAF), expressed his concerns on Monday, November 11th, about the impact of the political crisis on economic relations between the two countries. He criticized the “reckless statements” made by some French political figures, stating that these jeopardize a strategic partnership with a market of 45 million consumers.
Crisis Intensified by Paris’s Support for Morocco
The diplomatic crisis has deepened due to France’s support for Moroccan claims over the Western Sahara. In October, during his visit to Morocco, Emmanuel Macron reaffirmed Paris’s support for the “Moroccanity” of the Sahara.
This move has greatly displeased Algiers, which sees this stance as a betrayal of France’s historical neutrality in this sensitive issue. Macron’s decision was perceived as a definitive position in favor of Rabat, risking the compromise of relations with Algeria.
Economic Consequences for French Companies
This diplomatic fallout is particularly concerning for economic stakeholders, who fear repercussions on trade.
In 2023, trade between the two nations reached nearly €12 billion, with €5 billion in French exports to Algeria. Approximately 6,000 French companies are involved in commercial relationships with the Algerian market.
A deterioration in relations could significantly impact French businesses, especially at a time when France has just secured $10 billion in contracts in Morocco.
Rumors of Trade Suspension
Rumors of suspending trade between France and Algeria have recently circulated, fueled by the French press. On November 4th, Le Figaro mentioned a “verbal instruction” to commercial banks to halt transactions with France.
Although the office of the Algerian Prime Minister has denied this information, Michel Bisac confirmed that these rumors have created a climate of panic among businesses on both sides.
“Respect Algeria”: A Call from the Business Community
Michel Bisac believes that relations between the two countries require more caution and respect from French politicians. He reminded that Algeria, at Europe’s doorstep, is a key partner and an attractive market despite its regulatory specificities.
“Our politicians in Paris must take all precautions when speaking about Algeria,” he stated, noting that media statements on border controls or Orders to Leave French Territory (OQTF) often overshadow the fact that 99% of Algerians in France are well-integrated and working.
An Increasingly Strained Relationship
Beyond the Western Sahara issue, other sensitive topics like historical memory and migration are heightening tensions. French political leaders, particularly from the right, often treat Algeria as a domestic political issue, with hostile rhetoric about immigration or bilateral agreements.
The new French Interior Minister, Bruno Retailleau, has even announced a “hardline” policy with Algiers regarding consular laissez-passers, while favoring dialogue with Morocco on the same matter.
Business Community Worried About the Future
With nearly €12 billion in trade and 6,000 French companies involved in trade with Algeria, the business community is concerned about major economic losses due to political tensions. “If we lose with Algeria what we gain with Morocco, we’ll have missed the point,” warned Patrick Stefanini, a former senior French official.
As the crisis continues to worsen, voices from the private sector are calling on politicians to exercise restraint to preserve an essential economic relationship that, despite political differences, remains vital for both countries.
