Italian Cooperation in the country

The Italian Cooperation has supported Algeria since the 1970s through development initiatives in sectors ranging from the construction of public works, to support for industry and agriculture, to the restoration and protection of cultural heritage.

Given that Algeria possesses considerable resources to promote national development, Italian Cooperation has historically focused on qualitative aspects such as training, the transfer of skills and technology, also through Debt Swap Programs.

Over the years, thanks to the signing of two Debt Swap agreements, particular attention was given to environmental protection, urban planning, economic development, cultural heritage preservation, and education.

The Italian Cooperation also contributes to the response to the Sahrawi crisis, continuously supporting humanitarian assistance programs and the strengthening of basic services for the Sahrawi refugee population settled in the country.

In 2024, the total portfolio of ongoing initiatives by the Italian Cooperation in Algeria amounted to approximately 16 million euros. These funds correspond to five initiatives distributed as follows: four Emergency initiatives (6 million euros) in the Sahrawi refugee camps and one Debt Swap initiative approved in 2010 (10 million euros) and currently under implementation.

Strategic development document in the country

The Algerian Government’s Action Plan for 2021–2024, adopted in November 2021 (Plan d’action du gouvernement pour la mise en œuvre du programme du Président de la République 2021- 2024), is a strategic document outlining national sectors and intervention priorities. Developed and approved during the COVID-19 pandemic, the document sets out the transitional steps the Algerian Government intends to take to guide the country through a phase of social, political, and economic transformation. The document is divided into five chapters:

1. Consolidating the rule of law and renewing governance;
2. Economic recovery and renewal;
3. Promoting human development and social cohesion;
4. Dynamic and proactive foreign policy;
5. Strengthening national security and defense.

The Italian strategy and the areas of intervention

The Italian Cooperation strategy in Algeria is based on multisectoral interventions through Debt Swap Programs, as well as humanitarian and medium-term initiatives in the Sahrawi refugee camps.

Italy has primarily committed to implementing Debt Swap Agreements with the Algerian government. The first agreement, signed in 2002, enabled the investment of EUR 82 million of debt into the implementation of 34 development projects, resulting in the construction of 20 urban solid waste management facilities, 4 university centers and residences, 5 schools, and 5 sports complexes. The second agreement, signed on 12 July 2011, provides for the swap a debt quota amounting to 10 million euro into local currency for the financing of multisectoral development projects.

Moreover, emergency initiatives focused on food security, health, education, and WASH sectors, address needs identified through consultations with Sahrawi authorities, UN agencies, and partner CSOs. The Italian Cooperation promotes an integrated and participatory approach aimed at improving the living conditions of refugees and supporting social and community structures within the camps.

Alignment with the local government strategy and harmonization with donor community interventions

Regarding the Debt Swap Program, coordination is carried out with the Ministry of Finance of Algeria and its Directorate General of Treasury, which oversees the actions of the five involved ministries (Youth and Sports, Handicrafts, Health, Environment, and Education) and, in collaboration with the AICS Regional Office in Tunis, ensures the monitoring of the 17 projects submitted by the Algerian counterpart.

Furthermore, the Italian Cooperation represented one of the most active bilateral actors in supporting the Sahrawi refugee population living in Tindouf area, continuously contributing to the improvement of living conditions and the strengthening of resilience among the most vulnerable communities. This commitment is part of the Sahrawi Refugee Response Plan (SRRP), developed by the United Nations System in close collaboration with the Algerian government and organizations operating in the camps. The SRRP aims to enhance the impact and efficiency of aid provided to the 28 operational organizations by promoting coordination and harmonization of interventions, with the goal of avoiding duplication and maximizing the effectiveness of assistance in a sustainable manner. The plan acknowledges the fundamental contribution of the Algerian government, which for nearly five decades has provided shelter and essential services—such as infrastructure, secondary and university education, and healthcare—to the Sahrawi population. Within this framework, the Italian Cooperation reaffirms and strengthens its commitment, aligning its interventions with the priorities identified in the SRRP and collaborating with local authorities, UN agencies, and other international partners to ensure a coordinated, effective, and principled humanitarian response.

Goals and expected results

For the second Debt Swap Agreement, the Italian Cooperation, in close coordination with Algerian counterparts, adopted a multisectoral approach. It approved 17 projects submitted by the Algerian Ministry of Finance—the main counterpart of the Program—formulated by five ministries and covering five macro-sectors: youth and sports, tourism and handicrafts, environment, health, and education. Furthermore, the Agreement stipulates that 30% of the total amount must be allocated to the environmental sector. In this regard, an integrated pilot technical assistance project for the management of a solid urban waste collection system is currently being implemented in the Wilaya of M’Sila.

Regarding emergency programming, the objectives of the Italian Cooperation aim to ensure access to essential services for the Sahrawi refugee population, with particular attention to the most vulnerable groups. Expected outcomes include improvement of food security and nutritional status; strengthening of available health services in the camps; enhancement of the educational system with a consequent reduction in student dropout rates; and increased access to water and sanitation services. In the long term, the goal is to strengthen the resilience of the refugee community and reduce its dependence on external aid.

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