Startups To Take Over Payment Digitization For Algeria’s Postal Service

The Algerian government is increasingly showing great friendship with the country’s startup ecosystem. Apart from recently tearing down the boundaries hitherto restricted startups from participating in Algerie Telecom’s public procurement processes, the country’s Minister of Post and Telecommunications, Brahim Boumzar, has announced the official launch of a partnership project between Algeria Post and startups.

Minister of Post and Telecommunications, Brahim Boumzar
Minister of Post and Telecommunications, Brahim Boumzar

Here Is What You Need To Know

  • According to Mr. Boumzar, the objective of the partnership is to support the postal sector to accelerate the popularization of electronic payment.
  • The minister explained that the leaders of startups will be certified as approved financial agents after meeting the conditions specified in the specifications.
  • The startups will also be responsible for supporting economic operators in the procurement process with Algeria Post, until various means of electronic payment are obtained.
  • The minister also said that the startups can use payment services such as the QR Code, as well as the installation and maintenance of equipment.
  • This approach is part of the realization of the commitments of the President of the Republic, who attaches great importance to young entrepreneurs to revive the national economy.

Read also: A Look At The 26-Year-old Algerian Yacine Oualid, Africa’s First Ever Minister of Startups

A Country Greatly Supporting Startups In Recent Times

In December 2020, Algerie Telecom, Algeria’s state-owned telecom operator, unveiled new specifications for its calls for tenders. The new specifications would facilitate access of over 2,300 technological microenterprises to public procurement.

Labelled startups and incubators in Algeria would also be the greatest beneficiaries of the country’s newly passed finance law. The 2021 Finance Bill which was submitted to the country’s Council of Ministers on Sunday 04 October 2020, provides for changes in taxes (Tax On Professional Activities, TAP; and Value-added Tax VAT). Under the law, companies in Algeria with a startup label will be exempt from several taxes, starting with the TAP (tax on professional activity) and the IBS (tax on corporate profits. companies) for a period of 2 years from the date of obtaining the said label.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

Algérie Telecom Has Just Made It Easier For Startups To Land Contracts

Algerie Telecom has decided to give more opportunities to startups specializing in the ICT. On December 3, 2020, the operator unveiled new specifications for its calls for tenders. It was designed to facilitate the access of 2,300 technological microenterprises to public procurement.

Brahim Boumzar, Minister of Post and Telecommunications
Brahim Boumzar, Minister of Post and Telecommunications

Read also: South Africa’s Customer Journey Management Startup inQuba in Expansion Drive

Algerie Telecom startups

Thus, the discriminatory clauses present in the old schedule have been removed. In addition, the new guide simplifies tender documents as well as procedures. It is clearer and more readable as to the needs of the public sector. The two thousand microenterprises concerned by this initiative are those already registered on the new electronic portal Safqatic, launched last August by the teams of Brahim Boumzar, Minister of Post and Telecommunications. The platform was established to ensure transparency and probity relating to public procurement and market monitoring.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

Algeria Makes Electronic Payments Free Of Charge

Algeria’s Minister of Post and Telecommunications, Brahim Boumzar, has said that the use of electronic payment via Electronic Payment Terminal (TPE), the QR Code or the web merchant is “completely secure” and is “free”.

Algeria’s Minister of Post and Telecommunications, Brahim Boumzar
Algeria’s Minister of Post and Telecommunications, Brahim Boumzar

“In order to encourage citizens to make greater use of electronic payment, financial transactions carried out by citizens via the TPE (electronic payment terminal), the QR Code (payment from a smartphone) and the internet (merchant site) will be free (without any additional fees or taxes),“ said Mr. Boumzar during an awareness day on the subject. 

Here Is What You Need To Know

  • According to Boumzar, the last deadline for the acquisition of TPE by all traders, craftsmen and liberal professions is set for December 31, 2020.
  • The Universal QR code comprised squares of black and white blocks, which can be scanned by smartphones with the aim of making it easier for businesses to accept electronic payments, without additional fees or taxes.

Read also: Ghana to Launch Universal QR Code Payment System

  • Singapore, China and the United Kingdom had already launched the Universal QR Codes last year.

“All of these operations are carried out in close collaboration with the Ministry of Commerce and the GIE monétique”, he noted.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer