President Tebboune Initiates Historic Formalization of Algeria’s Youth Cabas Traders, Ending Informal Trade Era

✍️ BY: Dr. Hana Saada

A strategic reform to legitimize “Cabas” traders by granting official economic agent status and unlocking state support to invigorate national economic growth

Algiers, Algeria | May 18th, 2025 — In a powerful declaration poised to reshape Algeria’s informal economy, President Abdelmadjid Tebboune has mandated a definitive resolution for the status of young micro-import entrepreneurs engaged in what is locally known as the “Cabas” trade. Announced during the Council of Ministers meeting this Sunday, the President’s directive marks a transformative step towards recognizing and integrating these dynamic youth traders into the formal economic framework.

The “Cabas” phenomenon—small-scale importation of diverse goods by numerous Algerian youth—has long thrived on the fringes of the official trade channels, fulfilling local market demands but operating outside the regulatory scope. Despite its socio-economic vitality, this sector’s informal nature has exposed young traders to legal uncertainties and limited access to institutional support.

President Tebboune’s bold initiative aims to eradicate this precarious informality by conferring upon these micro-importers the official status of “economic agents.” This legal recognition is designed to afford them parity with established enterprises, thereby enabling access to critical financial resources, training programs, and state-backed economic support mechanisms.

According to a presidential communiqué, this move is not merely symbolic but a foundational reform to empower youth entrepreneurship, enhance economic inclusion, and combat rising unemployment. The President underscores that formalizing the “Cabas” traders will integrate them into legitimate distribution networks, granting them institutional advantages such as credit facilities and tailored professional assistance.

The announcement has been met with widespread approval from sector representatives and institutional stakeholders alike, who view the measure as a pivotal step toward modernizing economic practices and supporting innovative youth-led commerce. Experts emphasize that this formalization will likely generate a positive ripple effect on employment markets, stimulate wealth creation, and bolster the growth of small businesses—while simultaneously curbing the pervasive shadow economy.

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