Banque Extérieure d'Algérie Internationale (BEA) has officially received approval from the European Central Bank (ECB) on January 16, 2025, to establish banking operations in Europe, notably in France, home to a significant Algerian community.
The approval was confirmed by the French Embassy in Algeria through a press release issued on Tuesday, March 11, 2025. BEA, Algeria's largest bank, is now authorized to open five retail branches across France, aiming to cater directly to the needs of the Algerian diaspora and facilitate easier financial transactions between Algeria and Europe.
French diplomatic representatives welcomed this landmark decision, emphasizing their readiness to support BEA’s strategic expansion into major French cities. "On the strength of this approval, BEA now has a banking license to operate as a retail bank in France and Europe," the embassy stated, highlighting France's significance as a crucial market for BEA.
According to Finance Minister Abdelkrim Bouzerd, responding to a written inquiry from Algerian MP Abdelouahab Yagoubi earlier in March, BEA's European presence will enable the bank to offer comprehensive services to Algerian nationals living abroad. These services include the opening of various types of accounts, seamless fund transfers to Algeria, the transfer of pensions and social security payments, access to credit, and the ability to repay loans obtained in Algeria.
Although BEA has yet to publicly outline detailed development plans for its operations in France, this move represents the first instance of an Algerian banking institution gaining regulatory approval for direct operations in Europe.
A Secure Banking Alternative for Transfers and Investments
This development provides a secure, regulated alternative to informal currency exchanges, allowing Algerian emigrants to transfer money and invest legally through official banking channels. According to the World Bank, Algerian expatriates transferred approximately $1.942 billion to Algeria, a figure considerably lower than Morocco's $12 billion, largely due to reliance on informal channels. With recent measures, including the prohibition of cash payments for specific transactions under the 2025 Finance Law, emigrants will increasingly need formal banking solutions for purchases, notably in real estate.
BEA's entry into the French market thus represents a strategic step toward addressing these financial needs and curbing reliance on Algeria’s informal currency market.
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