Hidden GEMs: Algeria

Overview

The International Monetary Fund (IMF) has ranked Algeria as the third largest economy in Africa for the year 2025, with a Gross Domestic Product (GDP) estimated at $268.9 billion. This places Algeria ahead of most African nations, trailing only South Africa ($410.3 billion) and Egypt ($347.3 billion). Further projections by Statista, a US statistics portal, estimate Algeria’s GDP will climb to $306.03 billion by 2029, up from $193.36 billion in 2019, reflecting sustained growth, improved foreign currency revenues, and a gradual improvement in the overall economic environment[1].

Since 2019, President Abdelmadjid Tebboune has emphasized economic diversification and stronger private sector participation as part of Algeria’s reform agenda. This direction has been reinforced by Finance Minister Abdelkrim Bouzred, who has highlighted recent legislative and regulatory reforms aimed at improving the business climate and encouraging investment. While reforms remain gradual, these policy efforts support the ongoing development of Algeria’s capital markets[2].

As of early 2026, the SGBV lists around ten equity securities across its principal and growth segments, reflecting a broader push to deepen market participation among domestic and institutional investors.

The primary benchmark Dzair Index tracks the listed equity universe, showing modest breadth but gradually increasing presence of diverse sectors such as banking, pharmaceutical, insurance, and industrial services[3].

Market Capitalization: Growth with Milestones

One of the most dramatic recent milestones was the surge in overall market capitalization driven by high-profile listings. In 2024, the initial public offering (IPO) of Crédit Populaire d’Algérie (CPA) was reported to have lifted the total market value nearly seven-fold, the largest listing in the three-decade history of the Algerian Stock Exchange raised 112 billion dinars ($833 million) for the bank known as CPA, which became the fifth company to float its shares locally in the North African country. This brings the total market value of the stock exchange to 532 billion dinars, from 72 billion dinars[4].

This sizeable increase underscores two positive dynamics:

• Capital formation through equity issuance
• Corporate engagement with public markets

Although Algeria’s market cap remains small compared with regional peers, this expansion event highlights capacity for meaningful growth at pivotal listing points.

IPO Activity

IPO activity in Algeria has become more vibrant, highlighted by both traditional bank listings and new sectors emerging on the exchange.

Notable IPOs & Listings 

• The Moustachir IPO , a digital consulting startup, became one of the first tech-oriented companies to list on the SGBV in late 2024, offering shares at 760 DZD and signaling early progress toward integrating growth-oriented firms into equity markets [5].

According to official IPO announcements referenced by COSOB, Moustachir offered 125,000 shares at 760 DZD for 25% of equity (raising ~94.4 million DZD), the implied market capitalization at listing was approximately 378 million DZD[6] equivalent to approximately USD 2.8–3.0 million, based on an average exchange rate of 134 DZD per USD[7]. 

• Press coverage from late 2025 suggests up to three planned IPOs in 2026, indicating continued supply side momentum in Algeria’s primary market[8].

Market Policy Enhancements

In early 2026, Algerian authorities announced a waiver of IPO and listing fees for certified startups through 2028 as part of a strategic effort to lower barriers to listing and encourage broader participation by innovative firms. This initiative is intended to stimulate capital raising through equity rather than bank financing, particularly for early-stage companies.

This kind of fee waiver is not merely a short-term incentive, but a statement of policy aimed at long-term equity market development. 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)[9].

Liquidity & Participation Trends

Despite the positive developments above, trading liquidity remains modest, one of the industry’s key constraints with relatively low trading volumes compared to larger regional markets. Daily turnover, measured in DZD, remains small and episodic.

However, the recent listings and structural policy improvements have contributed to:

• Increased investor awareness
• Broader public interest
• Gradual turnover improvements in traded names

These are favorable signals, especially for a market at an early stage of institutional participation.

Overall Activity

The activity on the trading floor of the Algiers Stock Exchange in January 2026 reflected a normalization phase following the strong performance recorded in December 2025.

The total transaction value reached 342,808,725 DZD (approximately USD 2.6 million, assuming 1 USD ≈ 129.65 DZD[10]), compared to 1,953,599,002 DZD in December.

Regarding total trade volume, 286,785 shares were traded in January, compared to 1,186,553 shares in December.

Source: Algiers Stock Exchange Publications[11]

Despite the seasonal moderation in activity at the beginning of the year, trading remained concentrated in core financial stocks and the market continued to demonstrate active participation and sustained interest in leading listed institutions, reflecting the structural role of financial stocks within the Algiers Stock Exchange.

Algeria’s Current Representation in the MarketVector™ Total Global Equity Index

As of 2026Q1, the MarketVector™ Total Global Equity Index (MVTGLE) includes one Algerian-listed constituent — Crédit Populaire d’Algérie (CPA).

While Algeria’s representation within the global equity universe remains limited, this inclusion marks an important structural milestone. The CPA listing significantly expanded the country’s market capitalization and demonstrated the exchange’s capacity to support large-scale equity issuance.

Price of Crédit Populaire d’Algérie (CPA) in USD (February 25 , 2025 - February 23, 2026)

Source: MarketVector™ Total Global Equity Index (MVTGLE). Data as of 02/23/2026.

The rapid recovery following the Q4 dip suggests strong institutional support and reinforces CPA’s position as the primary liquidity driver within the Algerian equity market.

The current single-constituent exposure highlights both:

• The early stage of Algeria’s equity market development
• The potential for broader inclusion as IPO activity and trading depth improve

As additional IPOs materialize and liquidity metrics strengthen, Algeria’s presence within MVTGLE could expand beyond a single constituent, gradually enhancing diversification and investability within the global equity framework.

About the author:

Shubhangi Rajvanshi joined MarketVector Indexes™ in 2021, beginning her role in Index Operations and currently serving as a Data Manager, specializing in data validation, vendor reconciliation, database management, fundamentals screening, and automation of index processes. She has over 4.5 years of prior experience in developing administration and calculation of indices. She holds a master’s degree in finance from ICFAI Business School, Gurgaon, India and brings strong analytical and technical skills to index and data management processes.

For informational and advertising purposes only. The views and opinions expressed are those of the authors but not necessarily those of MarketVector Indexes GmbH. Opinions are current as of the publication date and are subject to change with market conditions. Certain statements contained herein may constitute projections, forecasts, and other forward-looking statements that do not reflect actual results. It is not possible to invest directly in an index. Exposure to an asset class represented by an index is available through investable instruments based on that index. MarketVector Indexes GmbH does not sponsor, endorse, sell, promote, or manage any investment fund or other investment vehicle that is offered by third parties and that seeks to provide an investment return based on the performance of any index. The inclusion of a security within an index is not a recommendation by MarketVector Indexes GmbH to buy, sell, or hold such security, nor is it considered to be investment advice.

[1] IMF: Algeria Rises to Become Africa’s Third Largest Economy in 2025 - DzairTube En

[2] Algeria Showcases Improved Investment Climate Driven by Key Reforms – AL24 News

[3] SGBV Bourse d'Algérie

[4] Algeria Stock Market Jumps Sevenfold After CPA Public Offering | Sada Elbalad

[5] Moustachir Goes Public: Launching IPO at 760 DZD Per Share on Algiers Stock Exchange

[6] A 1st in Algeria. Startup Moustachir goes public: Here's how to become a shareholder - Algerie360

[7] USD to DZD Exchange Rate History for 2024

[8] Algeria to See Up to Three More IPOs in 2026, Regulator Says - Bloomberg

[9] https://africabusinessinsight.com/algeria-waives-ipo-fees-for-startups-until-2028-to-boost-capital-market-access/?utm_source=chatgpt.com

[10] USD to DZD Exchange Rate History for 2026

[11] RAPPORT MENSUEL DE L’ACTIVITE DE LA BOURSE D’ALGER

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