Algeria shifts tourist allowance to card payments to curb fraud

The Algerian Council of Ministers, chaired by President Abdelmadjid Tebboune, approved a provisional change to the 750‑euro tourist allowance, moving its disbursement from cash to an international bank card (Visa or Mastercard). The reform targets large‑scale fraud in which intermediaries and travel agencies used travelers’ passports to withdraw euros and sell them on the parallel market, causing a “hemorrhage of foreign currency.”

Under the new system, beneficiaries must obtain the card from a bank (later also from Algérie Poste) and can use it for hotel, restaurant and shop payments abroad, as well as ATM withdrawals in the local currency of the destination. Cash withdrawals in euros on Algerian territory or in non‑euro countries are prohibited, and any unused balance will remain on the card for future trips or be refunded in Algerian dinars.

The measure is temporary and part of a broader digitalisation drive, with a one‑month deadline for ministries to interconnect their IT systems via the National Data Center. The Bank of Algeria issued detailed guidelines: citizens aged 19 and over receive €750 (or equivalent), those 12‑18 receive €300, up to two children per family, for trips of at least seven days, not including pilgrimage. Misuse can lead to repayment, suspension of the right to exchange, and possible prosecution.