Specificities of Establishing Digital Banks in Algerian Law: A Legal Option or an Economic Imperative?

Abstract

The creation of a digital bank marks the start of a technological revolution in the national and international economic and financial sectors. Digital banks operate exclusively through virtual platforms, removing the need for customers or staff to be physically present and ensuring speed and flexibility in transactions. However, this raises several legal issues, primarily the need to implement robust cybersecurity measures to safeguard consumers’ information and guarantee the confidentiality of their transactions and accounts. It also requires the state to assert its right to supervise these institutions. Providing an infrastructure suited to this type of banking from the outset is key to achieving this oversight. The Algerian legislator has sought to address these needs by imposing special conditions and procedures for establishing such banks. This legal approach is driven by economic necessity, stemming from the specific nature of digital banks and the risks they face. This study discusses these issues by examining the rules that govern the establishment of electronic banks under Algerian law.