Algeria: Foreign importers must involve Algerians

At least 30% of the capital of foreign importing companies based in Algeria should belong to Algerians from 31 December 2009, announced a decree published Wednesday in the Algerian official journal.

•     The measure affects foreign-owned companies already established or wishing to settle in Algeria to carry on the business of importing raw materials, products and goods for resale, according to the text.
  
      After next December 31, these companies can operate in Algeria “if at least 30% of their capital is held by individuals of Algerian nationality or legal persons whose general partners or shareholders are of Algerian nationality” says the text.
  
      The importers concerned by the measure “may not make direct debit to their import operations only if they have copies of their status and their extract from the commercial register under the new regulations,” says the text.
  
      According to the National Center of Commerce Register (NRC), 1665 importing companies are held by foreigners on a total of 25,548 companies engaged in import activity in Algeria.
  
      This particular measure is intended to reduce foreign currency transfers to foreign countries.
  
     Algeria import bill doubled between 2005 and 2008 to reach 40 billion dollars, according to official figures.
  
      
  Ennaharonline/ M. O.