New Procedures for the €750 Grant to Protect Citizens

Algeria Bank’s two recent memoranda regarding foreign exchange allowances for travel abroad, which include new procedures for accessing these allowances, aim to better regulate the process and control it, putting an end to recent abuses, the Deputy Governor of the Bank of Algeria, Mohamed Benbahane, announced on Thursday.

In a statement to the national radio, the official explained that the new procedure, which mandates payment in dinars exclusively through written payment methods such as electronic payment cards, bank checks, or transfers, while prohibiting cash payments, was introduced “to protect citizens by allowing them to deal with financial institutions rather than individuals, and to ensure that the right to exchange benefits is granted to the individual concerned, not to third parties.”

After noting the “close coordination” between the Bank of Algeria and other commercial banks to facilitate account opening for citizens immediately upon application, the spokesperson explained that the new regulatory procedures are in line with Algeria’s digital transformation.

He also explained that “the process of digitising the national economy, as well as financial operations in general, begins with opening a bank account, whether at the post office or a bank. This process has been greatly facilitated by all commercial banks.”

He added that the national banking network currently comprises 1800 branches across the country, which, he said, allows for optimal provision of banking and financial services to citizens, thus ensuring financial inclusion.

Regarding the question of whether or not opening a bank account is mandatory for each family member when travelling with the family, Benbahane confirmed that current laws allow the head of the household to open an account, which can then be used by children who have not yet reached the legal age to open a bank account or who are still under their family’s guardianship.

The Bank of Algeria announced on Tuesday, through two memos addressed to banks, new procedures for disbursing the equivalent in Algerian dinars for the foreign exchange allowance for travel abroad, to ensure that the allowance is granted only to the legitimate beneficiaries.

The bank clarified that granting the right to disburse funds is now conditional upon the traveller having a bank account. Banks are required to implement all due diligence measures, particularly those related to customer due diligence, identity verification, and assessing the consistency of transactions with the account holder’s profile.

The payment must be made exclusively in dinars through bank-issued payment methods, such as electronic payment cards, bank checks, or any other authorised written payment instrument. Cash payments are prohibited.

The new procedures also stipulate that the collection of the equivalent value in dinars is the sole responsibility of the banks, with payment to be made directly by the actual beneficiary or any resident citizen on behalf of their spouse or beneficiaries.