The European Parliament has officially approved the inclusion of Algeria on the list of countries designated as “high-risk” in the areas of money laundering and terrorism financing—marking what has been described as a significant diplomatic blow to Algeria’s image within European Union institutions.
The endorsement came during a parliamentary session held last Wednesday, with a large majority of Members of the European Parliament (MEPs) voting in favor. The decision represents a turning point in how European institutions will deal with Algerian entities, as all financial operations involving Algerian institutions or individuals will now be subject to stringent oversight and thorough scrutiny within EU structures.
According to the French newspaper Le Journal du Dimanche, the measure entails enhanced due diligence for all transactions related to Algeria, aiming to mitigate the risks of illicit financial flows and ensure strict tracking of capital movements.
Several political voices within the European Parliament welcomed the decision, including French MEP Laurence Trochu from the European Conservatives and Reformists (ECR) group, who described the vote as “good news” in a post on the platform X (formerly Twitter).
The decision is expected to come into effect in the coming weeks, once the necessary technical and procedural arrangements are finalized following the parliamentary endorsement.
This move comes as the culmination of a lengthy assessment process conducted by EU bodies, which involved technical reports and regulatory observations submitted to the European Commission regarding Algeria’s compliance with international standards on anti-money laundering and counter-terrorism financing.
According to the French outlet, the findings revealed serious weaknesses in Algeria’s oversight system, including inadequate mechanisms for tracking financial flows, limited monitoring of NGO activities, and ineffective international judicial cooperation.
The decision is likely to cast a shadow over Algeria’s financial relations with Europe, particularly in the areas of banking operations, money transfers, and investment activities, which now require a high degree of transparency and accountability within the EU.
At a time when Algeria is seeking to expand its regional influence and position itself as an economic partner in Africa and the Mediterranean, this European classification serves as a clear warning about its commitments to fighting cross-border financial crimes.
These developments come amid growing European pressure on several countries listed as “high-risk,” as Brussels moves toward strengthening financial governance and cracking down on all forms of criminal and extremist network financing.
Algeria’s inclusion on this list raises renewed questions about its willingness to undertake structural reforms in its financial and judicial systems, in alignment with international standards set by the Financial Action Task Force (FATF) and its European partners.
