For years, the Algiers Stock Exchange (SGBV) has functioned more like a quiet monument to state-led industry than a high-octane engine of capital. Its trading floor, dominated by a handful of state-backed giants, rarely saw the kind of volatility or volume associated with emerging markets in Cairo or Casablanca.
But as 2026 begins, the Algerian government is attempting an audacious pivot. By the end of this year, at least five startups and “scale-ups” are expected to list on the Algiers Stock Exchange to raise development funds. It is a move born of necessity as much as vision — a high-stakes experiment to see if a frontier market can bypass the traditional venture capital “funding desert” and head straight for the public.
The Pilot: A Sobering Post-Game Analysis
The blueprint for this transition was laid in late 2024 by Moustachir SPA, a digital-first consulting firm. It was the first “labeled” startup to seek growth capital through the local bourse. The offering was modest: 125,000 shares priced at 760 Algerian dinars (DA), roughly $5.70 per share, aiming to raise $707,000.
While the listing was hailed as a milestone by the Commission for the Organization and Oversight of Stock Exchange Operations (COSOB), the subsequent two years have provided a reality check. Recent disclosures suggest Moustachir’s market capitalization for its listed shares has dwindled to approximately 800,000 DA.
Whether this figure represents a catastrophic loss of value, extreme liquidity constraints, or a reporting anomaly, it serves as a cautionary tale for the 2026 cohort. For a startup, being “public” is meaningless if there is no one on the other side of the trade to buy the shares.
The 2026 Pipeline
Despite the uneven performance of the first mover, the Ministry of Knowledge Economy and Startups is doubling down. Chems Eddine Benmousset, the ministry’s Director of Support Structures, recently confirmed that several applications are under review for 2026. The target sectors are:
- Agritech: Looking to digitize Algeria’s vast but traditional farming sector.
- Healthtech: Seeking to fill gaps in a public-heavy healthcare system.
- AI and E-commerce: Attempting to modernize a consumer market still heavily reliant on cash and informal trade.
To grease the wheels, the Ministry of Finance has removed one of the biggest hurdles: IPO fees. By exempting small firms from these costs, the government hopes to lower the barrier to entry for the 16 “scale-ups” it aims to groom this year.
Why the Road is “Hard to Crack”
The challenge for Algeria is not a lack of entrepreneurs. Since the labeling committee was established in 2020, over 1,100 startups have been officially recognized. The problem is the bridge between a “label” and “liquidity.”
| Challenge | Impact on Startups |
| The “Funding Desert” | Local banks demand physical collateral (buildings, equipment) that tech firms don’t have. |
| Retail Skepticism | Algerian households traditionally prefer real estate or gold over digital shares in an AI firm. |
| Institutional Rigidity | Pension funds and insurance giants remain risk-averse, favoring government bonds over high-growth tech. |
| Compliance Overhead | The shift to “dematerialized” electronic securities requires a level of transparency many young firms struggle to maintain. |
“When the government says ‘use the stock exchange,’ it sounds innovative,” noted one local entrepreneur who requested anonymity to speak candidly about the ecosystem. “But the reality is that a public listing requires a level of financial maturity that few three-year-old companies possess.”
Symbolic Gestures vs. Market Infrastructure
Beyond the financial mechanics, the government is leaning into cultural incentives. A new President of the Republic’s Prize for Best Startup will be awarded this November during Global Entrepreneurship Week. Simultaneously, the “Algeria Disrupt” conference series is returning to the provinces to drum up interest.
However, prestige and prizes are no substitute for market depth. For the Algiers Stock Exchange to become a viable path, it needs more than just five listings; it needs an active investor base like its neighbours Morocco and Egypt. Without a “critical mass” of successful exits, the exchange risks becoming a “well-intentioned detour” rather than a true financing alternative.
The Outlook
Algeria’s push to public markets reflects a genuine policy dilemma. With international venture capital largely bypassing the country due to currency controls and regulatory complexity, the stock exchange is an option chosen by elimination.
If the 2026 cohort — spanning agritech to AI — can prove that a public listing leads to actual growth rather than just “illiquid prestige,” it could fundamentally rewrite the North African economic playbook. If they fail to attract buyers, the road for Algerian startups will remain as hard to crack as ever.