This archive report was first published on 11 May 2020.
On May 11, 2020, Algeria's cabinet lifted the ban on car imports, a measure that had been in place since 2014 under President Abdelaziz Bouteflika.
The decision to lift the ban comes after a surge in the import bill, which coincided with a drop in energy revenue caused by a fall in global crude oil prices.
Despite partnerships being formed between Algerian business officials and foreign carmakers to set up local assembly operations, the ban failed to reduce the bill as most car parts were imported, leading to a surge in domestic prices for cars.
As part of the government's efforts to encourage car plants to use local parts, assemblies with high local integration have been exempted from the value-added tax (VAT).
Meanwhile, in Kenya, the government has taken steps to enhance the efficiency of the Pre-Export Verification of Conformity to Standards services, including the appointment of new inspectors of imported cars, mobile equipment, and spare parts in March this year.
