With the entry into force of the 2026 Finance Law, Algeria is taking a new step in its economic strategy, sending a clear signal to foreign investors: the country now prioritizes structured, sustainable, and productive investments in a more transparent and secure framework.
This budgetary reform, beyond its financial aspects, marks a qualitative evolution in the business climate, particularly for foreign direct investment (FDI).
Value Added by Henni Consulting IEC
One of the major changes introduced by the 2026 Finance Law concerns taxation for foreign companies. The text ends several derogatory regimes and moves toward alignment with the common tax regime, just like national companies.
This harmonization aims to reduce fiscal uncertainties, strengthen equity among operators, and provide better visibility for investors. A voluntary regularization mechanism, open until the end of 2026, supports this transition to facilitate compliance.
A More Assertive Opening of the Investment Framework
The 2026 Finance Law confirms the continuation of economic opening initiated in recent years. The so-called 49/51 rule is now focused solely on strategic sectors, offering greater capital ownership freedom in many areas.
Authorities also reaffirm the principle of legal and fiscal stability for investments, up to ten years, a key factor for medium- and long-term projects.
The most affected sectors include:
- Industry and local transformation,
- Renewable energies,
- Mining,
- Innovation and startups.
A Better-Structured Administration for FDI
The 2026 Finance Law fits into a logic of administrative simplification, particularly through strengthening the one-stop shop for major projects and foreign investments. The goal is to reduce delays, improve institutional coordination, and secure investment pathways.
While operational challenges remain, the trajectory points toward greater readability and efficiency in public mechanisms.
Expert Opinion: "The 2026 Finance Law Marks a Qualitative Turning Point for Foreign Investment in Algeria"
The 2026 Finance Law represents a profound shift in Algeria's investment philosophy. The country moves from a logic of derogations and one-off opportunities to an approach based on stability, compliance, and long-term vision.
Algeria thus becomes a market for projects, not just opportunities. Those who engage methodically and proactively can build lasting, value-creating positions.
Why Rely on a Specialized Consulting Firm?
In this new context, partnering with a consulting firm specialized in supporting foreign investors in Algeria becomes a strategic lever.
The regulatory complexity, the need to secure legal and fiscal structures, and the importance of choosing local partners make a structured, proactive approach essential.
A firm like Henni Consulting IEC intervenes precisely at this level, supporting investors in:
- Regulatory and sectoral feasibility analysis,
- Legal and capital structuring of projects,
- Fiscal and administrative securing,
- Identification of reliable local partners,
- Post-establishment follow-up.
This approach reduces risks, optimizes timelines, and aligns projects with the new public policy directions for sustainability.
The 2026 Finance Law repositions Algeria as a demanding yet promising market for long-term committed investors. By strengthening transparency, stability, and sectoral openness, it creates a more mature framework where strategic consulting plays a central role.
Photo Credit: APS.DZ
