Like many African countries, Algeria is striving to improve living standards and modernize its infrastructure. The launch of an instant payment system is part of these efforts to achieve sustainable prosperity and enhance financial inclusion.

Algeria plans an instant electronic payment system in the coming months, according to Nabil Dahia, Deputy Director General of the Interbank Pre-Clearing Center (CPI). The announcement was made during the International Conference on Digital Payments, organized last week by the Algerian Ministry of Finance and the Bank of Algeria, in partnership with the Arab Monetary Fund (AMF).

"Bank of Algeria is preparing the launch of the instant payment system project to achieve strategic goals related to financial inclusion, improve access to payment services, and reduce the costs and risks associated with transactions," said Nabil Dahia.

The upcoming system will allow financial transactions to be completed online instantly, enabling merchants to receive payment amounts immediately. Currently, funds paid by customers are credited to the merchant’s account after a delay of up to 72 hours. This marks a significant step forward in banking services, aiming to streamline payments and facilitate transactions.

This initiative is part of the government’s broader efforts to promote the adoption of electronic payments and the widespread use of digital banking services. It also aims to accelerate the digitization of commercial transactions and boost financial inclusion by making modern payment services more accessible to all citizens, including the unbanked.

These efforts are already yielding results, as shown by the latest report from the International Telecommunication Union (ITU) on ICT development. Published in June, the report awarded Algeria a score of 80.9 out of 100, a significant increase from the 77.8 points it received in 2023. This improvement reflects the government’s concrete actions to modernize its digital infrastructure and enhance access to ICTs.

The launch of the instant payment system is expected to bolster the country's competitiveness in the digital economy, simplify transactions for businesses and individuals, and contribute to reducing cash usage. It could also pave the way for further banking innovations, such as mobile wallet integration and the expansion of inclusive financial services, particularly for rural populations.

Samira Njoya