Algeria Doubles Specialized Commercial Courts to 25 to Boost Investment
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Takeaway
The doubling of specialized commercial courts signals Algeria's commitment to improving its investment climate. International investors should monitor the impact of these courts on contract enforcement and dispute resolution timelines. Increased efficiency in the judicial system could reduce risks associated with commercial ventures in Algeria, making it a more attractive destination for foreign capital.
Algeria has expanded its network of specialized commercial courts from 12 to 25, aiming to improve the business climate and attract further investment. This increase was formalized through Executive Decree n° 26-133, dated March 30, 2026, which modifies and supplements Executive Decree n° 23-53 of January 14, 2023, defining the territorial jurisdiction of these courts. The decree was published in the Official Journal n° 27.
This expansion builds upon judicial reforms initiated in 2023 by the Ministry of Justice, following Law No. 22-13 of July 12, 2022, designed to modernize the handling of commercial disputes. The initial establishment of 12 specialized commercial courts aimed to provide a dedicated jurisdiction for commercial, financial, and business-related cases, ensuring more efficient and professional settlements than traditional civil courts. These original courts were located in Algiers, Oran, Constantine, Annaba, Sétif, Blida, Tlemcen, Béchar, Mostaganem, Djelfa, Ouargla, and Tamanrasset. The overarching goal is to strengthen legal security for both Algerian and international businesses.
The specialized commercial courts focus exclusively on business and trade disputes, encompassing payment defaults, insolvency, banking operations, transport claims, and international contracts. These courts are composed of professional judges assisted by experienced commercial assessors from the private sector, combining legal and practical commercial expertise. Their objectives include accelerating the resolution of commercial disputes, encouraging reconciliation, improving the predictability of judgments, and enhancing Algeria's attractiveness to foreign investors and exporters. The reform is intended to create a secure legal environment that promotes both national and international investments.
The expansion of these courts is expected to benefit exporters through faster recoveries, lower costs, and stronger legal certainty. It also aligns with Algeria's broader efforts to diversify its economy, which is heavily reliant on hydrocarbon industries, accounting for approximately 19% of its GDP. The Algerian government has launched initiatives to foster a business-friendly environment, including special economic zones offering tax incentives and simplified regulatory procedures. These reforms aim to simplify business registration, reduce bureaucracy, and improve transparency.
Looking ahead, the gradual implementation of the additional 13 commercial courts will be closely monitored for its impact on dispute resolution efficiency and investor confidence. Key indicators will include the reduction in case processing times, the increase in foreign direct investment, and improvements in Algeria's ranking in the World Justice Project (WJP) Rule of Law Index, where it currently ranks 88th out of 143 countries. The success of this expansion hinges on continued efforts to uphold judicial integrity, improve service delivery, and combat corruption, as emphasized by President Abdelmadjid Tebboune.