Journan — Accueil

Algeria to reduce housing costs through Islamic finance reforms by 2027

The Algerian government's 2027 draft finance bill introduces significant financial facilities to reduce the cost of purchasing homes, particularly through Islamic finance schemes. Contracts such as Murabaha, Ijara Mountahia Bi tamlik, and Istisna’a will benefit from exemptions on transfer duties and real estate publicity taxes. Under the new regulations, registration fees will be calculated based on the bank's purchase value of the property rather than the total contract value. Additionally, state-subsidized housing programs will be exempt from transfer duties, and a revised tariff grid for land registry formalities has been established. These reforms, covering residential, commercial, and agricultural properties, are designed to streamline the property sector and improve access to homeownership for citizens.