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Ease of Doing Business in

Algeria

Algeria Download Profile (1751.2KB, pdf)
Region Middle East & North Africa
Income Category Upper middle income
Population 39,666,519
GNI Per Capita (US$) 4,870
City covered Algiers

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 156 163 up
7
47.76 45.88 down
1.88
Starting a Business 142 145 up
3
77.54 76.08 up
1.46
Dealing with Construction Permits 77 119 up
42
71.02 64.56 up
6.46
Getting Electricity 118 130 up
12
60.58 57.56 up
3.02
Registering Property 162 161 down
1
43.83 43.83
-
Getting Credit 175 174 down
1
10.00 10.00
-
Protecting Minority Investors 173 174 up
1
33.33 33.33
-
Paying Taxes 155 170 up
15
53.99 46.10 up
7.89
Trading across Borders 178 178
-
24.15 24.15
-
Enforcing Contracts 102 100 down
2
55.49 55.49
-
Resolving Insolvency 74 71 down
3
47.67 47.67
-

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:

77

DB 2016 Rank:

119

Change in Rank:

up42

DB 2017 DTF (% points):

71.02

DB 2016 DTF (% points):

64.56

Change in DTF (% points):

up6.46

STANDARDIZED WAREHOUSE
Estimated value of warehouse DZD 20,611,043
City Algiers
Indicator Algeria Middle East & North Africa OECD high income
Procedures (number) info_outline 17 15.1 12.1
Time (days) info_outline 130 129.5 152.1
Cost (% of warehouse value) info_outline 0.9 3.3 1.6
Building quality control index (0-15) info_outline 10 10.0 11.3
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    Obtain an urban certificate

    Agency: Municipal Authority (Autorité Municipale)

    An urban certificate is not a legal requirement to obtain a construction permit. However, in practice it is required by the architect so that the plans are drawn according to the specificities of this plot of land.

    The owner will make the request to obtain the urban certificate for this plot of land and will receive it in about one week by mail.

    14 days no charge
    2

    Obtain building permit

    Agency: Municipal Authority (Autorité Municipale)

    The complete application is submitted in 5 copies to the Assemblée Populaire Communal (APC) at the city level. The application is first approved by the city and then transmitted to the DUCH at the Wilaya level.

    The DUCH (direction de l’urbanisme de la construction et de l’habitat) at the Wilaya (county) level centralizes all building permit requests submitted at the city level and issues a technical opinion (avis technique) after consultation with other technical government agencies: SONELGAZ, forests, civil protection, health, environment, etc. (exact list depends on the type of project).

    The documents required are:
    • Acte de propriété (property deed)
    • Plans of the project prepared by a certified architect and certified engineer for the génie civil section. Drawings of the structure
    • Extrait cadastral (or plan du lotissement where applicable). Extrait cadastral in Rouiba
    • Preliminary agreement from utility companies. Authorization for temporary connection during the construction
    • Dessins du systeme d’egout

    Construction permits are valid 3 years. If the construction has not been built within this time frame, the builder must apply for a new one.


    60 days DZD 127,100
    3

    Inform Municipality of commencement of work

    Agency: Municipal Authority (Autorité Municipale)

    It is mandatory to inform the Municipality of the commencement of work as well as of the expected date of completion.

    1 day no charge
    4

    Receive inspection for the first earthworks

    Agency: Controle Tecnique de la Construction

    The Technical Agency, an independent technical agency, verifies every major step of advancement of the structure (“réceptionne ou vise”): there are on average 5 to 8 inspections per construction.

    They control the structure and safety issues. They inspect at each key stage of the construction:
    • Verification of the quality of the soil
    • First earthworks
    • Excavation inspection
    • Laying of the foundations
    • Installation of the concrete slab

    In general only urbanism and civil protection will inspect; no other agency conducts an inspection.

    1 day no charge
    5

    Receive excavation inspection

    Agency: Controle Tecnique de la Construction

    1 day no charge
    6

    Receive foundation inspection

    Agency: Controle Tecnique de la Construction

    1 day no charge
    7

    Receive concrete pouring inspection

    Agency: Controle Tecnique de la Construction

    1 day no charge
    8

    Receive second concrete pouring inspection

    Agency: Controle Tecnique de la Construction

    1 day no charge
    9

    Notify Municipality of completion of construction

    Agency: Contrôle Technique de la Construction

    BuildCo inform the Municipality of the end of construction

    1 day no charge
    10

    Request and receive final inspection to obtain certificate of conformity

    Agency: Controle Tecnique de la Construction

    When the warehouse is completed, BuildCo must notify the municipality so that it can make a final inspection of the construction.

    The following documents must be included in the request:
    • Statement of Completion in duplicate against a receipt.
    • Notice of inspection sent eight days prior to the inspection sent by the CPAA to BuildCo
    • A written report (Proces Verbal) will be established by a committee comprising of all the relevant departments, including the fire department at the end of the inspection.

    The inspection is usually done within 2 weeks of the request.

    1 day no charge
    11

    Obtain certificate of conformity

    Agency: Sous direction de l'urbanisme de la Commune

    Although the law requires a certificate of conformity, it is seldom issued in practice.

    23 days DZD 9,500
    12

    Register the building at the Cadastre

    Agency: Municipal Authority (Autorité Municipale)

    Before the building can be used as collateral, banks require the property title and the construction license. This case study assumes that BuildCo already possesses a construction license.

    1 day no charge
    * 13

    Apply for water and sewage connection

    Agency: Société des Eaux et de l'Assainissement d'Alger (SEAAL)

    1 day no charge
    * 14

    Notify municipal/communal authority of connection to sewer mains

    Agency: Municipal/communal authority (Autorité municipale/communale)

    When the application for a building permit is submitted, there is a set of plans for utilities which are sent to utility companies for verification. If the utility companies do not approve these plans, the building permit will be delayed until all plans are corrected.

    1 day DZD 15,000
    * 15

    Obtain inspection for water connection cost estimate

    Agency: Société des Eaux et de l'Assainissement d'Alger (SEAAL)

    The Customer Service department will send a team to do a technical and financial study of the work to be done. The cost estimate is given to the client and payment must be made before the work is done.

    1 day no charge
    * 16

    Obtain sewage connection

    Agency: Société des Eaux et de l'Assainissement d'Alger (SEAAL)

    A site visit is sometimes required to prepare the estimate.



    21 days DZD 13,000
    * 17

    Obtain water connection

    Agency: Société des Eaux et de l'Assainissement d'Alger (SEAAL)

    18 days DZD 25,000

    * Takes place simultaneously with previous procedure.

  • Measure of quality
    Answer Score
    Building quality control index (0-15) 10.0
    Quality of building regulations index (0-2) 2.0
    How accessible are building laws and regulations in your economy? (0-1) Available online; Free of charge; In official gazette. 1.0
    Which requirements for obtaining a building permit are clearly specified in the building regulations or on any accessible website, brochure or pamphlet? (0-1) List of required documents; Fees to be paid; Required preapprovals. 1.0
    Quality control before construction index (0-1) 1.0
    Which third-party entities are required by law to verify that the building plans are in compliance with existing building regulations? (0-1) Licensed architect; Licensed engineer. 1.0
    Quality control during construction index (0-3) 2.0
    What types of inspections (if any) are required by law to be carried out during construction? (0-2) Inspections at various phases; No inspections are legally required during construction. 1.0
    Do legally mandated inspections occur in practice during construction? (0-1) Mandatory inspections are always done in practice; Inspections are not mandated by law but commonly occur in practice during construction. 1.0
    Quality control after construction index (0-3) 3.0
    Is there a final inspection required by law to verify that the building was built in accordance with the approved plans and regulations? (0-2) Yes, final inspection is done by government agency. 2.0
    Do legally mandated final inspections occur in practice? (0-1) Final inspection always occurs in practice. 1.0
    Liability and insurance regimes index (0-2) 2.0
    Which parties (if any) are held liable by law for structural flaws or problems in the building once it is in use (Latent Defect Liability or Decennial Liability)? (0-1)  Architect or engineer; Construction company. 1.0
    Which parties (if any) are required by law to obtain an insurance policy to cover possible structural flaws or problems in the building once it is in use (Latent Defect Liability Insurance or Decennial Insurance)? (0-1) Architect or engineer; Construction company. 1.0
    Professional certifications index (0-4) 0.0
    What are the qualification requirements for the professional responsible for verifying that the architectural plans or drawings are in compliance with existing building regulations? (0-2) University degree in architecture or engineering. 0.0
    What are the qualification requirements for the professional who supervises the construction on the ground? (0-2) University degree in engineering, construction or construction management. 0.0