The Role of Law No. 22-18 in Improving the Investment Climate in Algeria

Benaissa, Abderrahmanne; Larroum, Mohamed Amin

مجلة العلوم الإنسانية والإجتماعية
Volume 6, Numéro 2, Pages 74-99
2025-06-30

The Role Of Law No. 22-18 In Improving The Investment Climate In Algeria

Authors : Benaissa Abderrahmanne . Larroum Mohamed Amin .

Abstract

Abstract: Investment plays a crucial role in promoting economic growth, diversification, and sustainable development, particularly in resource-dependent economies. In this context, Algeria has undertaken several legislative reforms aimed at improving its investment climate and attracting both domestic and foreign investors. One of the most significant reforms is the adoption of Law No. 22-18 on Investment, which seeks to modernize the legal and institutional framework governing investment activities. This study analyzes the contribution of Law No. 22-18 to improving the investment climate in Algeria. It examines the legal, financial, and judicial guarantees provided to investors, as well as the institutional reforms introduced to facilitate investment procedures. The research also evaluates the system of investment incentives established by the law and its role in encouraging investment in strategic sectors and regions. The study adopts an analytical and descriptive approach based on the examination of legislative texts, institutional mechanisms, and investment policies. The findings indicate that the new investment law introduces significant improvements through stronger legal guarantees, enhanced transparency, digitalization of administrative procedures, and the establishment of the Algerian Investment Promotion Agency. However, the study also highlights several challenges that may limit the effectiveness of the reform, including administrative bureaucracy, regulatory instability, and coordination difficulties among public institutions. The research concludes that while Law No. 22-18 represents an important step toward improving Algeria’s investment environment, its success depends largely on effective implementation, institutional efficiency, and regulatory stability.