Assessing Foreign Direct Investment in Algeria: From the Implications of Rule 51/49 to the Impact of the Coronavirus pandemic

TEBANI Amel, SEMSOUM Aicha

Abstract

This study aim to  evaluate the role  of foreign direct investment in Algeria and the climate in which it is active, and the extent to which it achieved the winner-winner equation under Rule 51/49, in addition to the impact of the Covid-19 virus crisis on these investments. We will try to shed light on the transportation sector as a strategic sector in need of the foreign investor who can make a qualitative leap for it in order to advance other closely related economic sectors such as trade, tourism and even industry.

We concluded through our study that foreign direct investment in Algeria lacks a favorable business climate, especially with regard to the stability of legislation and regulations, which requires the adoption of profound and bold reforms, in exchange it is necessary to activate the control of these investments to prevent monopoly, as well as to ensure the foreign investor fulfills his obligations.

In order to get acquainted with all aspects of the study, the descriptive analytical method was adopted as more suitable for this topic.