El Mahdi Walid: More than 5,000 startups, 1,100 of which have been labeled as a startup or innovative project

The Minister of Knowledge Economy, Emerging Enterprises and Small Enterprises, Yassin El Mahdi Walid, revealed during the government’s meeting with the governors, held today, Thursday in Algiers, that his ministerial department has registered more than 5,000 start-ups, more than 1,100 of which have been awarded the label of a startup or an innovative project.

In a speech he delivered on the occasion of this meeting, which was opened by the President of the Republic, Mr. Abdelmadjid Tebboune, the minister said that the figures recorded by Algeria so far in this sector are “exceptional and proud”, as “more than 5,000 startups have registered themselves on At the Ministry level, more than 1,100 start-up companies obtained the label of a startup or an innovative project, while the number of incubators increased from 14 to 60 between 2020 and 2023 across the country.

As for financing, the minister stated that the National Fund for Emerging Enterprises Finance was able to benefit from investment funds at the state level with a total cover of 58 billion DZD, i.e. one billion DZD per state, which will enable it to “increase in a significant way its investments in startups.” The fund invests between 5 million and 150 million DA in one project.

With regard to the knowledge economy, Mr. Walid explained that the sector aims to enhance spending in research and development, in order to reach 3 percent of the gross product within 5 years, compared to 1 percent currently.

To achieve this goal, the minister pointed out that the Finance Law of 2023 included “very stimulating” measures in the areas of research, development and innovation. As for self-contracting, the only random tax has been set at a rate of 5 percent for the activities carried out under the legal system of the self-contractor, and a business ceiling has been set within the limits of 5 million DZD, the minister adds.

On the other hand, Mr. Walid highlighted that the agreement reached with the Ministry of Higher Education and Scientific Research to cover modeling expenses, in partnership with the Directorate of Research and Development, and that the state also guarantees the costs of patents and all intellectual property documents, which contributed to doubling patent rates this year compared to with previous years.

With regard to micro-enterprises, he explained that the ministry, since its entrustment with the guardianship of the two bodies of the National Agency for Support and Development of Entrepreneurship (ANAD) and the National Agency for the Management of Micro-credit (Anjam), has checked the status of the two agencies, revealing that “many imbalances have been found that afflict them through The many abuses, especially the spread of the phenomenon of fictitious projects, as well as the power of corrupt suppliers involved in wasting public money.

In this regard, he stated that the sector is currently working to make “radical changes” regarding the “Anad” agency, in order to move from the social approach currently in force to a purely economic approach, and to change the pattern of state support for small companies and direct it towards economic standards, which are of It would motivate entrepreneurial youth to enter into entrepreneurship and entrepreneurship on realistic bases.

The minister stressed the need to strengthen the relationship between the executive body and local communities, especially with regard to its sector, while speeding up solving some of the problems faced by young entrepreneurs at the local level, especially the problem of obtaining real estate and workspaces to embody their projects.