Algeria is stepping up efforts to reposition its tourism sector regionally, with authorities announcing 280 new investment projects aimed at boosting infrastructure and improving competitiveness, even as the industry continues to face deep structural challenges.
According to the director general of the Algerian Investment Promotion Agency (Algerian Investment Promotion Agency), Omar Rekkache, the projects were registered under the country’s revised investment framework and are valued at more than 257 billion dinars.
The planned investments are expected to generate over 17,000 direct jobs and focus on key segments including coastal tourism, Saharan tourism and thermal spa development.
The initiative forms part of a broader government strategy to diversify Algeria’s economy away from hydrocarbons and strengthen non-oil sectors such as tourism, which is increasingly viewed as a potential driver of employment and regional development.
However, despite the surge in announced projects, Algeria continues to lag behind established tourism destinations in the Mediterranean and across Africa.
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Officials acknowledge that the sector still suffers from long-standing structural constraints, including limited hotel infrastructure, weak international air connectivity and a relatively low profile among global tourism operators.
Administrative bottlenecks have also historically slowed investment inflows, although recent reforms aim to address these challenges.
The new investment law, Law 22-18, introduces tax incentives, partial digitisation of administrative procedures and improved access to land for investors. Authorities also say coordination with local governments has been strengthened to accelerate project implementation across key regions.
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The Algerian Investment Promotion Agency is also developing a digital platform to facilitate investor procedures in several provinces, including Algiers, Annaba, Jijel and Mostaganem.
Despite these reforms, experts say the sector’s recovery remains uneven and heavily dependent on the effective execution of projects rather than announcements.
Algeria’s tourism ambitions come at a time when regional competition is intensifying, with neighbouring countries benefiting from more developed ecosystems, stronger branding and better integration into international travel networks.
Analysts note that while the country possesses significant natural and cultural assets — including Mediterranean coastline and Sahara desert attractions — these advantages have not yet translated into sustained international visitor growth.
The government’s challenge, they say, is not only to attract investment but to ensure that planned infrastructure is completed and operational within a competitive global tourism environment.
Persistent delays in previously announced projects have also contributed to investor caution, raising questions about implementation capacity.
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Officials insist, however, that ongoing reforms will gradually improve the business climate and restore confidence in the sector, positioning tourism as a key pillar of Algeria’s long-term economic diversification strategy.
