Major Job Creation Initiative Announced for 2025: Algeria to Provide 97,030 Job Opportunities
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BY: Dr. Hana Saada
Algiers, Algeria | October 17th, 2024 — In a significant development for Algeria’s labor market, Finance Minister Laaziz Faid revealed the government’s ambitious plan to create 97,030 job opportunities in 2025. This initiative, aimed at bolstering employment through a combination of new hires and filling existing vacancies, has been integrated into the 2025 Finance Bill. Faid emphasized that this effort would lead to nearly 100,000 jobs, a crucial step in addressing unemployment in the country.
During a recent session with the Finance and Budget Committee of the People’s National Assembly, Faid outlined that the planned expenditures for personnel in 2025 would represent 26.5% of the total payment allocations, amounting to a remarkable 289.7 billion dinars. This figure marks a 7% increase compared to the revised allocations for 2024. The allocations primarily aim to address the fundamental and compensatory laws of critical sectors, including education, health, religious affairs, and higher education, which together will receive 484 billion dinars.
The minister further highlighted the lifting of the freeze on promotion operations within central and decentralized departments, allocating 5.9 billion dinars for this purpose. Additionally, 69,525 new financial positions will be created, including 43,393 in the education sector and 19,782 in health services. This comprehensive strategy will facilitate the anticipated recruitment of 27,505 personnel, with 12,486 positions earmarked for public administrative institutions, amounting to 15.35 billion dinars.
One pivotal aspect of the 2025 Finance Bill is the strict enforcement of electronic payment systems across various sectors. Faid announced that the government will not grant an extension for traders to comply with the mandatory digital payment decision, which will take effect on December 31. The law will prohibit cash transactions in real estate, vehicle, and yacht sales, emphasizing the necessity for written or electronic payment methods.
Faid reiterated that the government’s commitment to shifting towards non-cash payment solutions will commence on January 1, 2025, requiring all economic stakeholders to facilitate electronic payment options for consumers. Furthermore, the bill includes provisions for exempting electronic payment devices (TPEs) from value-added tax and customs duties for three years, until December 31, 2027.
In a bid to encourage the adoption of electronic payment systems, the government will also offer tax reductions on corporate profits related to transactions conducted through electronic payment methods. Notably, these provisions aim to incentivize compliance among businesses, aligning with global financial trends.
The total payroll for 2025 is projected at 5,843 billion dinars, encompassing 1,276 billion dinars for public administrative institutions, which constitutes 34.79% of the national budget. This marks an increase of 11.4% compared to the previous year, underlining the government’s commitment to enhancing public sector wages and safeguarding purchasing power.
Additionally, the government plans to allocate 1,755.1 billion dinars to protect purchasing power, representing 30.7% of total budget allocations for transfers. This budget will also cover funds for public institutions engaged in industrial and commercial activities, as well as local communities.
Faid’s announcement comes at a time when the government is focused on modernizing the economy and improving service delivery through digitization and enhanced employment opportunities. By prioritizing job creation and the transition to electronic payments, Algeria is poised to tackle significant economic challenges and foster a more sustainable growth trajectory.
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