Algeria in talks with World Bank over startup funding, minister says

Algeria is in advanced talks with the World Bank to raise more than $10m for local startups, the knowledge economy minister said.

Noureddine Ouadah, minister of the knowledge economy and startups, made the remarks in an interview with Al Sharq Bloomberg. TSA and El Bourse reported them.

The talks target more than $10m for some Algerian startups. The minister said the World Bank has shown interest in Algerian startups that are growing fast at home and plan to expand in Africa and Europe.

Algeria hopes to launch the initiative during the fifth African Startup Conference, which will be held in Algiers from 5 to 7 December.

What the conference will cover

This year's conference will focus on advanced technology in Africa, including energy, health, artificial intelligence, agriculture and food.

The theme is deep tech, which means technology built on advanced science and research. More than 25,000 participants and 40 official delegations led by African ministers are expected, the minister said.

The conference will also discuss the challenges of digital sovereignty, meaning how countries keep control of their own digital systems and data. It will also look at ways to attract more funding for startups across the continent.

"Results from earlier editions have become official resolutions of the African Union," the minister told reporters at a press conference in Algiers on Saturday.

The results include the outcomes of a ministerial summit held alongside the conference. The conclusions of the fourth edition were approved on Friday at the African Union headquarters in Addis Ababa.

A new levy on large companies

Algeria created a levy in its 2026 budget law equal to 1% of the profits of companies with revenue above 2bn dinars (DZD), about $15m. The money is to fund research, development and innovation.

The minister said the implementing texts were issued days earlier. The levy is expected to raise hundreds of millions of dollars a year.

Growth of startups

The minister said Algeria had about 200 startups in 2020. It now has more than 15,000 projects, startups and business accelerators.

Citing figures from the UN Development Programme (UNDP), the minister said deep tech funding in Africa rose to $1.2bn in 2023 from $86m in 2015.

The minister said the field has become one of the most dynamic in Africa.