Algeria Moves to Regulate Ride-Hailing Services with Long-Awaited Legal Framework

Algeria has taken a decisive step toward regulating ride-hailing services with the finalization of a draft law governing private hire vehicles operating through digital platforms. The announcement was made by Minister of the Interior and Transport Said Sayoud before the National People’s Assembly, confirming that the bill has been submitted to the General Secretariat of the Government for adoption.

Describing the legislation as critically important, Sayoud said he would personally oversee its progress to accelerate approval. The move reflects growing recognition of the economic and social importance of ride-hailing services, which have become an essential part of urban mobility despite operating in a prolonged legal grey area.

Until now, the absence of a clear regulatory framework has left drivers exposed to repeated fines and sanctions during roadside inspections, even though the activity itself was not explicitly illegal. In some cases, drivers reportedly asked passengers to sit in the front seat during police checks to avoid penalties, highlighting the uncertainty surrounding the sector.

The new law is intended to eliminate this ambiguity by formally recognizing and protecting ride-hailing drivers under Algerian law. This would allow them to operate openly and legally, while also increasing passenger confidence in using app-based transport services.

Regulation is also expected to strengthen oversight and address safety concerns that have affected the sector’s reputation. Reports of passenger harassment, particularly involving women, as well as physical assaults and disputes between drivers and customers, have circulated widely on social media. A defined legal framework would provide clear recourse for both drivers and passengers in cases of misconduct.

The lack of regulation has also fueled tensions between traditional taxi operators and ride-hailing platforms, with taxi unions frequently accusing the latter of unfair competition. By clearly defining the legal status of each transport model, the bill aims to reduce conflict and allow taxis and private hire vehicles to coexist under separate but structured regulatory regimes.

Beyond mobility, the reform is expected to improve Algeria’s attractiveness to investors in digital transport platforms. Legal certainty is seen as a prerequisite for scaling operations and attracting capital. The growth of Yassir—from a local ride-hailing service into a regional mobility and services platform—has often been cited as an example of the sector’s potential when supported by a stable regulatory environment.

With this move, Algeria aligns itself with more progressive African markets such as Egypt, Nigeria, and Kenya, where ride-hailing services are formally regulated and integrated into urban transport systems.