Analysis

Changing tactics: A surge in public housing projects and new financing models are driving growth in the sector
OBG
plus

Against the backdrop of a large government homebuilding programme, state banks are stepping up the role they play in housing and real estate finance. Outside of the public housing segment, cheap long-term mortgages are available, in particular from public banks, though retail mortgages are dwarfed by state spending on housing and supply remains an issue. Property and real estate financing is also…

Analysis

Getting stronger: Taking steps to reduce NPLs, boost penetration and improve stability
OBG
plus

In February 2013 the IMF called on the Algerian authorities to take a number of measures to strengthen the financial system, including boosting banking intermediation and further tackling non-performing loans (NPLs) at public banks. The country benefits from a sizeable and liquid banking sector, but key indicators for activity and usage remain limited. Some of the measures suggested are already…

Analysis

Changing tactics: A surge in public housing projects and new financing models are driving growth in the sector
OBG
plus

Against the backdrop of a large government homebuilding programme, state banks are stepping up the role they play in housing and real estate finance. Outside of the public housing segment, cheap long-term mortgages are available, in particular from public banks, though retail mortgages are dwarfed by state spending on housing and supply remains an issue. Property and real estate financing is also…

Analysis

Getting stronger: Taking steps to reduce NPLs, boost penetration and improve stability
OBG
plus

In February 2013 the IMF called on the Algerian authorities to take a number of measures to strengthen the financial system, including boosting banking intermediation and further tackling non-performing loans (NPLs) at public banks. The country benefits from a sizeable and liquid banking sector, but key indicators for activity and usage remain limited. Some of the measures suggested are already…

Analysis

In the wires: Investments in infrastructure will improve and modernise the sector
OBG
plus

A spate of new capital investments has the potential to dramatically alter the performance of Algeria’s fixed-line segment. Fixed-line telecoms infrastructure in Algeria has traditionally been challenging to maintain, with demand regularly outpacing supply, leading to a large backlog for fixed broadband connections, as well as connection and speed issues. National telecoms provider Algeria Telecom…

Overview

Market moves: The prospect of more private equity-driven IPOs is cause for optimism
OBG
plus

While still at an early phase of development, with few listed securities, Algeria’s capital markets are set to see a host of new listings. The exchange’s second initial public offering (IPO) of a private company took place in June 2013 (the first was in 2011), with several other firms expected to follow suit. The government is also working on a plan to partially privatise a number of state-owned…

Overview

Market moves: The prospect of more private equity-driven IPOs is cause for optimism
OBG
plus

While still at an early phase of development, with few listed securities, Algeria’s capital markets are set to see a host of new listings. The exchange’s second initial public offering (IPO) of a private company took place in June 2013 (the first was in 2011), with several other firms expected to follow suit. The government is also working on a plan to partially privatise a number of state-owned…

Overview

Drafting change: The advent of 3G technology and new regulations will reshape the market
OBG
plus

Significant changes are set to come to Algeria’s telecoms sector following the drafting of a new information and communications technology (ICT) law that would at least partly liberalise the market and lead to increased competition. The draft law has been submitted to parliament, though has yet to be confirmed. Further changes seem likely to come with the long-delayed launch of 3G mobile broadband…

Overview

Strategic expansion: Increased internet usage and demand for services show potential
OBG
plus

Growth in many markets of the region, including Algeria’s immediate neighbours, points to the potential for expansions in Algeria’s IT sector. While spending remains low, the planned launch of 3G at the end of 2013 should lead to rapid growth in internet use and give the wider IT sector a boost. The country is also a regional pioneer in some niches and sector professionals say the quality of…