Algeria’s strategic location near the European market has contributed to its growing eCommerce sector. In Q1 2024, the number of online merchants in the country saw a notable increase compared to the previous year, reflecting rising consumer demand for digital transactions. The surge in online sales is being fueled by the growing adoption of efficient digital payment methods, facilitating everything from shopping to money transfers and bill payments.

Despite these positive developments, Algeria continues to face economic challenges, including persistent inflation. Higher wheat import volumes and prices are expected to keep inflation above the Bank of Algeria’s target of 3.5%. To mitigate these effects, the central bank is likely to maintain its key interest rate at 3%, aiming to stimulate private consumption and keep financing costs low to manage the country’s budget deficit.