Algeria

Ease of Doing Business in

Algeria

This page summarizes Doing Business 2014 data for Algeria. The first table lists the overall "Ease of Doing Business" rank (out of 189 economies) and the rankings by each topic. It also lists the economy's distance to frontier (DTF)** measure. The rest of the tables summarize the key indicators for each topic and benchmark against regional and high-income economy (OECD) averages.

Economy Overview

Region Middle East & North Africa
Income Category Upper middle income
Population 38,481,705
GNI Per Capita (US$) 4,110
City covered Algiers
Doing Business 2014 Rank Doing Business 2013 Rank*** Change in Rank
153 151 down -2

Doing Business 2014 DTF** (% points) Doing Business 2013 DTF** (% points) Change in DTF** (% points)
52.59 52.87 down -0.28
 

Starting a Business

Info

The challenges of launching a business are shown below. Included are: the number of steps entrepreneurs can expect to go through to launch, the time it takes on average, and the cost and minimum capital required as a percentage of gross national income (GNI) per capita.

DB 2014 Rank 164 DB 2013 Rank*** 159 Change in Rank down-5
DB 2014 DTF** (% points) 68.53 DB 2013 DTF** (% points) 68.64 Change in DTF** (% points) down-0.11

Information on new business density and number of newly created firms with limited liability can be found at Entrepreneurship Database.

Indicator Algeria Middle East & North Africa OECD

The total number of procedures required to register a firm. A procedure is defined as any interaction of the company founders with external parties (for example, government agencies, lawyers, auditors or notaries).

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Procedures (number)
14 8 5

The total number of days required to register a firm. The measure captures the median duration that incorporation lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra payments.

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Time (days)
25.0 19.8 11.1

Cost is recorded as a percentage of the economy’s income per capita. It includes all official fees and fees for legal or professional services if such services are required by law.

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Cost (% of income per capita)
12.4 28.9 3.6

The amount that the entrepreneur needs to deposit in a bank or with a notary before registration and up to 3 months following incorporation and is recorded as a percentage of the economy’s income per capita.

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Paid-in Min. Capital (% of income per capita)
28.6 45.4 10.4
No. Procedure Time to Complete Associated Costs
1 Obtain a certificate on the uniqueness of a selected company name from the Centre National du Registre du Commerce (CNRC) 1 day DA 490
2 Deposit the start-up capital with the notary public 1 day no charge
3 Draw up and notarize the company constitution documents, submit specimen of managers’ signatures, and prepare and submit the lease for the registered office of the company 7 days see comment
4 Obtain the criminal record and birth certificate of manager 2 days DA 30
5 Publish the company constitution on the legal journal (B.O.A.L.) and a nationally circulated newspaper 3 days DA 1,960
6 File for company registration with the commercial registry within two months of the formation of the company 2 days DA 9,760
* 7 Pay for the stamp duty and obtain a receipt 1 day simultaneously with previous procedure DA 4,000
8 Register for income tax (Impôt sur le revenu global des personnes physiques, IRG), corporate tax (Impôt sur les bénéfices des personnes morales ou des sociétés, IBS), and VAT with the local tax inspectorate 2 days no charge
9 Register for the Caisse Nationale des Assurances Sociales des Travailleurs Salariés (CNAS) 1 day no charge
10 Open the company’s bank account with a commercial bank 1 day no charge
11 Register for the Caisse Nationale de Sécurité Sociale des Non Salariés (CASNOS) 1 day no charge
12 Register with the Unemployment Insurance Fund (CNAC) 1 day no charge
13 Make a company seal 2 days DA 1,800
14 Have company’s accounting books stamped at the court 1 day DA 8,000
* Takes place simultaneously with another procedure.

** The distance to frontier (DTF) measure shows the distance of each economy to the "frontier," which represents the highest performance observed on each of the topics including Getting Electricity across all economies included in Doing Business. An economy’s distance to frontier is indicated on a scale from 0 to 100, where 0 represents the lowest performance and 100 the frontier. Read more...

***Last year's rankings are adjusted: they are based on 10 topics and reflect data corrections.

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