In 2024, the Fonds de Garantie des Crédits Aux Prime (FGAR) successfully financed 386 small and medium enterprises (SMEs) in Algeria, with a total value of USD 427 million (DZD 58 billion). These efforts not only provided essential funding but also facilitated the creation of 8,037 job opportunities across the country.
According to the latest figures, the fund supported these 386 businesses with bank loans amounting to DZD 39 billion and financial guarantees totaling over DZD 16.3 billion. Geographically, 147 enterprises were based in central Algeria, 118 in the east, 78 in the west, and 43 in the south. Sector-wise, 178 SMEs were in industry, 102 in services, 56 in construction and public works, and 50 in agriculture and fishing.
The FGAR was established by the Algerian Ministry of Industry and Pharmaceutical Production in November 2002 as a public institution. Its primary goal is to facilitate access to bank loans for SMEs and mitigate financing risks through the provision of financial guarantees. Additionally, the fund helps SMEs structure their financial projects to enable them to compete effectively in the market.
In a recent development, the fund was granted approval to amend its loan formulas, allowing it to offer financial guarantees for both investment and operating loans. Previously, financial guarantees were restricted to investment loans only, as outlined in Article 108 of the Supplementary Finance Law of 2009.
