Intelligent CIO Africa Issue 80 | Page 42

COUNTRY FOCUS : ALGERIA
Telecom , e-commerce , digital payments are key areas of innovation , while the IT industry is yet to attract any large investments to leapfrog forward similar to other Sub Saharan countries .

Can government boost the co

Panoramic view of Algiers , Capital of Algeria

Algeria ’ s Information and Communications Technology sector is continuously evolving and serves as the pillar of the country ’ s digital transformation program . The ICT sector will play a significant role in Algeria ’ s export diversification strategy away from oil and gas . From 2010 to 2019 , the government invested more than $ 3.7 billion in its ICT infrastructure , and from 2015 to 2019 , ICT equipment imports totalled $ 22 billion .

Despite these outlays and significant progress in ICT infrastructure development over the last decade , Algeria lags behind other African countries , and gaps persist .
The Telecommunications and Information Technology segments dominate Algeria ’ s ICT sector . The country ’ s infrastructure primarily relies on 3G and 4G LTE for mobile telecommunications and ADSL and fibre for fixed telecommunications . Algeria connects to Europe via four fibre-optic submarine cables .
Mobile adoption rates are high , with the number of mobile connections in February 2022 equivalent to 108.15 % of the total population . Broadband adoption rates are significantly lower at 9 %. Since 2016 , Algeria has deployed more than 120,000 kilometres of optical fibre throughout the country to help close the gap in broadband adoption rates .
As a result , Algeria ’ s overall Internet penetration currently stands at 60 %, with year-over-year increases of 16 %.
Further modernisation of the ICT sector and the country ’ s digital transformation will require significant IT investments . The IT segment of Algeria ’ s ICT industry is well organised , with specialised distributors , integrators , and nationwide distribution channels that provide products , solutions , and services .
Today , between 10 and 15 % of all professional investments are IT investments . These investments
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