Algeria Takes a Step Forward in the Fight Against Cash
Since January 2025, a list of transactions that can no longer be made in cash has been published, including:
- Real estate transactions for built and unbuilt properties
- Sales operations carried out by concessionaires of vehicle and industrial equipment distributors
- Purchases of yachts and pleasure boats
- Mandatory insurance policies
Alger has launched a program to modernize its financial infrastructure, aiming to improve efficiency and transparency. The evolution of the payment landscape represents a significant step in the transition towards a more connected and dematerialized economy. However, it is also a measure to combat the parallel economy. As everywhere in the world, the real estate market is a prime target for laundering money obtained from illegal or undeclared activities.
The Algerian real estate market will thus be put to the test this year. It is worth noting that banks have implemented anti-money laundering measures and do not accept large sums of money whose origin cannot be traced.
Another key aspect: Algerian residents abroad who are used to buying houses by converting their euros into dinars on the black market will no longer be able to do so. This is a significant blow to this type of mechanism. If the law is strictly enforced, it will allow the economy to become more efficient and the banking system to collect more revenue in foreign currencies. However, it is not without social impact, as, like in Tunisia, a significant portion of the population prefers financial secrecy.
