Rome has announced a strategic transformation in its relationship with Algeria, moving from a simple buyer-seller dynamic to one centered on co-production and investment. This shift signals a deeper economic partnership between the two nations.
According to statements made by the Italian Ambassador to Algeria, Alberto Cutillo, Rome no longer views Algeria solely as a market for Italian goods. Instead, Italy sees Algeria as a promising space for productive investment across various sectors, including industry, agriculture, and energy. This includes large-scale projects and advanced technological initiatives.
The Ambassador emphasized that Algeria is actively seeking partners, not merely suppliers. This highlights Algeria’s desire to establish relationships based on joint local production and knowledge transfer, rather than relying solely on imports.
This new vision is underpinned by the presence of approximately 200 Italian companies already operating in the Algerian market, with total investments reaching 8.6 billion euros in 2024.
The Italian perspective aligns with Algeria’s ongoing economic diversification efforts, particularly in areas where Italian companies possess significant global expertise. While energy remains a central component of the bilateral exchange, Rome is expanding its cooperation to include phosphates, renewable energy sources, electrical infrastructure, and green hydrogen.
Projects like SouthH2 and Medlink are emerging as strategic pathways connecting North Africa to European markets through green hydrogen and renewable electricity.
Furthermore, cooperation extends to digital infrastructure. The Ambassador highlighted the crucial role of digital infrastructure in the next phase of the relationship. The new digital cable project between Algeria and Europe, announced by Sparkle and Algerie Telecom, represents a significant leap. It moves beyond gas and electricity lines to data transmission routes, strengthening Algeria’s position within the Mediterranean communications network.
Italy’s strategic vision prioritizes key sectors within Algeria’s evolving economy, with a particular focus on industry as a driver of growth and innovation. This new approach seeks to foster a more balanced and mutually beneficial partnership between Italy and Algeria.
