Algeria’s latest Freedom in the World 2025 report, published by Freedom House on 26 February 2025, highlights persistent workplace discrimination against women as a key obstacle to economic participation. The 32-page document, part of the annual global survey of political rights and civil liberties, assigns Algeria a score of 31 out of 100, unchanged from the previous year. Within the “Women’s Rights” sub-category, the country receives a “not free” rating, citing legal, cultural and structural barriers that limit female entrepreneurship and corporate leadership.
According to Freedom House, Algerian women represent 18 % of the formal labour force, compared with 67 % for men. The gap widens in senior management: only 12 % of board seats in listed companies are held by women, and fewer than 5 % of chief executive positions are occupied by female founders. The report notes that the 2022 Family Code, while progressive on paper, remains unevenly enforced, particularly in family-owned businesses where inheritance laws still favour male heirs. A 2024 survey by the National Office of Statistics (ONS) cited in the report found that 62 % of women entrepreneurs reported difficulty accessing bank loans, compared with 38 % of men.
The document also points to informal sector dynamics. Women account for 70 % of Algeria’s informal workforce, concentrated in low-value-added activities such as textile subcontracting and home-based food production. These micro-enterprises rarely scale into formal businesses, limiting their contribution to GDP. The report estimates that closing the gender employment gap could add up to 2.5 % to Algeria’s annual GDP growth, equivalent to approximately US$4.8 billion based on 2024 figures.
For Algerian diaspora investors, the findings underscore reputational and operational risks. A 2023 survey by the Algerian Business Leaders Forum (FCE) revealed that 45 % of diaspora-led start-ups cited gender inequality as a deterrent to expanding operations in Algeria. The report warns that multinational corporations and impact investors increasingly screen for gender parity metrics, potentially sidelining Algeria in regional supply chains. Morocco and Tunisia, both rated “partly free” by Freedom House, have introduced mandatory gender quotas for corporate boards, attracting more female-led diaspora capital.
The Freedom House report identifies three policy levers that could shift the landscape. First, the 2023 Labour Code amendments, which introduced paid paternity leave and flexible work arrangements, have yet to be fully implemented. Second, the Ministry of National Solidarity has piloted a micro-credit scheme targeting women in rural wilayas, but funding remains limited to 15 000 beneficiaries annually. Third, the Algerian Stock Exchange (SGBV) has no gender diversity requirements for listed companies, unlike regional peers.
Entrepreneurs in tech and renewable energy sectors report a different experience. The 2024 Start-up Act, which offers tax breaks and fast-track visas, has attracted 38 % female co-founders among the 212 approved start-ups, according to the Ministry of Start-ups. However, Freedom House notes that these gains are concentrated in Algiers and Oran, leaving hinterland wilayas such as Tamanrasset and Adrar with female entrepreneurship rates below 8 %.
Key takeaway for entrepreneurs
Algeria’s workplace gender disparities create both risk and opportunity for founders. Diaspora investors should factor gender metrics into due diligence, while local start-ups can differentiate by adopting transparent diversity policies. The 2.5 % GDP growth potential from closing the gender gap offers a tangible market incentive for businesses that integrate female leadership and supply-chain diversity.
💡 Starting a business in Algeria? GlobalStart guides you step by step: procedures, real costs, company forms (SARL, EURL, SPA) and CNRC registration.