MODERNISATION OF INFRASTRUCTURE FOR TREATMENT OF PAYMENTS OF MASS

The three fundamental aspects of the reform for the modernization of infrastructures for retail payments:

 Firstly, the object of reform: the target in terms of payment instruments that the modern Algerian banking sector is to promote and see to completion by using the various market segments and customer. Above all, the major steps to achieve this target, ie strategic plan for modernization of payment instruments;

 Then, the general payment operations in Algeria: the principles of payments financing activity for the banking sector and guidelines for the pricing principles that should come to reinforce the strategic plan for modernization of payment instruments;

 Finally, those involved in implementation of Reform: the division of roles between government and stakeholders in the banking sector for the regulation of the activity, the standardization of payment instruments and systems management banks.

Policy recommendations outlined in this second part were approved by the Steering Committee of March 31, 2004, and constitute the basis of this Design Report. They are:

   A Strategic Plan for modernization of payment instruments that take place in three phases. The first phase of "pre-requisite" is to modernize infrastructure and intra and inter-bank bank to implement a reform of the organization and practices of banks for the processing of payment transactions. The second phase of setting up a base payment services recognized by the unbanked customer relies on the development of electronic instruments concentrate highly leveraged (transfers of wages and inter-company charges large remitters) while modernizing the treatment of other operations (replacement of the check to withdraw the cash card, improving the recovery of payment checks. It will allow the third phase of conquest by the development of the banking and credit card.

   An organization of the Algerian interbank retail payments based on active participation of banks and quasi-banking (Algeria Post), through the establishment of an Institute for Banking Standards and the strengthening of the Company to make interbank support the establishment and management of the telecommunications system off. He also stressed that these developments can not succeed without the active participation of the Bank of Algeria, supervising authority.

   Strong economic activity payments developed in line with the Strategic Plan for modernization of payment instruments, based on a pricing routine operations at a psychological price for the development of cashless payments. The scale of projects to improve infrastructure redent necessary support for a share of funding by public authorities to enable the necessary development of payment services reliable, fast and modern Algeria.