Algerian travelers received significant news this Sunday, December 8, as President Abdelmadjid Tebboune announced a substantial increase in the country’s tourist allowance.
The decision was made during a Council of Ministers meeting chaired by President Tebboune. According to Algerian Television, the updated allowances are as follows:
Adults: €750 per year
Minors: €300 per year
Additionally, a new Hajj allowance of $1,000 has been introduced for pilgrims.
A Long-Awaited Increase for Algerian Travelers
Until now, Algerians could only exchange 15,000 DZD in foreign currency annually, which equates to approximately €100 at the current official exchange rate of 1 euro = 146 DZD. This modest sum barely covers the cost of a single night in a European hotel, making foreign travel prohibitively expensive for many Algerians.
Black Market Dependency and Rising Exchange Rates
Due to the previously low allowance, many Algerians turned to the black market to obtain the necessary foreign currency. However, rising black market rates for the euro and the dollar have made this option increasingly unaffordable.
Euro: ~260 dinars per unit
Dollar: ~247 dinars per unit (and climbing toward 250 dinars)
The black market, particularly at Algiers’ Square Port Said, remains the primary source for foreign currency transactions in the country.
President Tebboune’s Commitment to Economic Reform
On October 6, President Tebboune directed the government to “substantially increase” the tourist allowance. Two months later, the new allowances reflect his commitment to easing financial barriers for Algerian travelers.
This change aligns with another recent policy shift: Bank of Algeria regulation now limits the export of foreign currency by residents and non-residents to €7,500 per calendar year, rather than per trip.
Why This Change Matters
The increase in the tourist allowance is a positive step toward reducing the financial strain on Algerian travelers and encouraging legitimate currency exchange methods. As foreign currency on the black market becomes harder to obtain, this policy could also help stabilize exchange rates and reduce dependence on informal markets.
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