Algeria has announced a waiver of initial public offering (IPO) and listing fees for certified startups on the Algiers Stock Exchange until 2028, in a bid to stimulate fundraising and deepen the country’s underdeveloped capital markets.
The measure, unveiled on Feb. 1 by the Commission d’Organisation et de Surveillance des Opérations de Bourse (COSOB), was coordinated with the Société de Gestion de la Bourse des Valeurs (SGBV) and Algérie Clearing, the country’s securities settlement institution.
Under the initiative, eligible startups will be exempt from all fees related to IPOs and stock exchange listings, including charges for document review, admission to trading, administrative procedures, securities custody and ongoing management. The exemption applies to fundraising operations of up to 500 million Algerian dinars (US$3.85 million).
The policy targets companies listed on the “Croissance” segment of the Algiers Stock Exchange, a market tier created to support high-growth, innovative firms with strong expansion potential. The fee waiver applies to transactions conducted between 2026 and 2028.
Algerian authorities say the move is intended to remove structural barriers that have historically limited startups’ access to long-term financing through capital markets, leaving most young companies dependent on bank loans, public grants or private funding.
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“Reducing the cost of market entry is a key lever to encourage startups to consider equity financing,” COSOB said in a statement, adding that the initiative forms part of broader efforts to modernise the financial ecosystem and support entrepreneurship.
Algeria has made startup development a policy priority in recent years as it seeks to diversify an economy still heavily dependent on hydrocarbons. According to official data, more than 7,800 companies are registered on the national startup portal startup.dz, with around 2,300 holding official “startup” certification, a status that provides access to tax incentives, grants and public support programmes.
Despite this growing ecosystem, access to capital markets remains extremely limited. The Algiers Stock Exchange is one of the smallest in Africa, with just eight listed companies as of mid-2025, including state-owned Banque de Développement Local (BDL).
To date, only one startup, Moustachir, has listed on the exchange. The digital consulting company joined the market in 2024 through the “Croissance” segment, marking a symbolic milestone for Algeria’s startup financing landscape.
Moustachir has since expanded beyond Algeria, entering Middle Eastern markets including Oman and the United Arab Emirates. The company projected revenue of more than 55 million dinars in 2025 and has set a target exceeding 187 million dinars by 2028, according to publicly disclosed figures.
Authorities hope the fee waiver will encourage more startups to follow a similar path, helping to establish equity markets as a viable funding channel for innovation-driven firms.
“The objective is not only to increase the number of listings, but also to strengthen transparency, governance and investor confidence,” a market official familiar with the initiative said.
The IPO fee exemption complements other measures aimed at improving the investment climate for startups, including simplified certification procedures, tax breaks, and increased public funding through state-backed investment vehicles.
However, analysts note that structural challenges remain. Limited liquidity, a narrow domestic investor base, and low public awareness of equity investment continue to constrain the development of Algeria’s stock market.
“Waiving fees is a positive signal, but broader reforms will be needed to attract both issuers and investors,” said an Algiers-based financial analyst. “This includes improving disclosure standards, expanding institutional participation and ensuring consistent regulatory enforcement.”
Still, policymakers argue that lowering entry costs is a necessary first step in a gradual process of market development.
By targeting the “Croissance” segment and setting a fundraising cap, authorities aim to strike a balance between encouraging early-stage companies and managing risk in a relatively shallow market.
If successful, the initiative could help channel more private capital toward startups, support job creation, and contribute to Algeria’s longer-term strategy of building a more diversified, innovation-led economy.
