The United Nations Conference on Trade and Development (UNCTAD) has unveiled its global investment report for 2025, showing a rise in foreign direct investment (FDI) flowing into Algeria. In 2024, FDI hit USD 1.43 billion, marking an 18% increase from 2023, despite ongoing global challenges.
Titled “International Investment in the Digital Economy,” the report points to several factors driving this positive trend. Key among them are legislative reforms in the investment law that have brought clarity and legal stability. Algeria’s strong commitment to diversifying its economy beyond hydrocarbons has also played a vital role.
The report highlights Algeria’s efforts to boost its appeal across various sectors, including industry, agriculture, tourism, and renewable energy. It notes the country’s strategic position as a regional hub and gateway to both Africa and Europe, along with significant upgrades in infrastructure—especially in ports, transport projects, and energy connectivity—that help streamline import and export operations.
Additionally, the document emphasizes the clear political will to attract investments and improve the business climate, showcasing the credibility of the Algerian Agency for Investment Promotion (AAPI) among foreign investors.
The report also discusses ongoing initiatives to roll out digital tools aimed at simplifying investment procedures, with the investor digital platform cited as a prime example.
Furthermore, it examines Algeria’s involvement in continental and international agreements, such as the African Continental Free Trade Area (AfCFTA), which boosts its attractiveness for export opportunities in African markets. The report underscores the country’s rich natural resources and skilled workforce as key factors that continue to draw in investments.
