ACCOUNT PROFILE

Algeria shortens import payment terms, steel problems possible

Posted on 06 January 2021

The Algerian authorities have included in the new budget for 2021 a measure to shorten the terms of payments for imports, Kallanish learns from sources and the official state gazette.

According to the new legislation, import expenses of most goods, including steel, will need to be settled 45 days after the day of shipment. A European trader active in Algeria confirms this could create some problems for those selling to Algeria without previously approved letters of credit.

The Algerian government has been looking into tightening rules for import payments for some time. In Algeria’s official gazette authorities stipulate they will issue specific guidelines for the new measure in the near future. Until then, it is still yet to be fully understood how the new payment term will be implemented.

 

Source : Kallanish