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Startup Label and entrepreneurial ecosystem development in Algeria: Evidence from 2020-2024

Domain:

socioeconomic

Record type:

paper
Creator:
HasAbo
Publisher:
Cen
Host:
This paper analyses the impact of Algeria's Startup Label programme, formally established by Executive Decree No. 20-254 of 15 September 2020 as part of the Algeria Disrupt initiative, on the development of the national entrepreneurial ecosystem between 2020 and 2024. Drawing on official legislative texts, data from the national startup.dz platform, ministerial statements, and evidence from StartupBlink and Tracxn, the study examines five performance dimensions: ecosystem size, supporting infrastructure, financial attractiveness, direct employment, and international competitiveness. Registrations on startup.dz grew from an estimated 200 in 2020 to over 7,800 by 2024, with 2,300 entities holding the Startup Label, representing 228% growth between 2021 and 2023. The incubator network expanded from 14 to 124 institutions; total funding reached USD 650 million in 2024, a 60% year-on-year increase; and over 20,000 direct jobs were created. Algeria advanced to the 111th position in the StartupBlink global ranking. Despite this trajectory, structural constraints persist: a label approval rate of approximately 21.4% as of 2022, a late-stage funding gap, and significant brain drain. The findings suggest that the Startup Label may have acted as a catalyst for ecosystem formation, but that the programme's next phase must prioritise startup survival and revenue growth over registration volumes.

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doi.org

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