Securing Algeria’s E-Commerce Boom: Payment Fraud, Marketplace Scams, and Consumer Trust

The E-Commerce Trust Deficit

Algeria’s e-commerce market has grown dramatically since 2020, accelerated by pandemic-era behavioral shifts and the gradual rollout of electronic payment infrastructure. The number of registered e-commerce businesses has grown at an average annual rate of 92% since 2020, with 582 web-merchants integrated on the internet payment platform by 2024 — a 23% increase over 2023, according to GIE Monetique. Platforms like Ouedkniss, alongside a wave of Instagram-based micro-stores, have created a vibrant but largely unregulated digital marketplace. SATIM, the operator of Algeria’s interbank payment network, processed a record volume of CIB card transactions in 2024, with e-payment values reaching 59.993 billion DZD in the first half of 2024 alone — up 57% year-over-year. Internet payment values specifically grew 63.82% to 20.257 billion DZD over the same period.

Yet consumer trust remains the single largest barrier to sustained growth. According to a UNCTAD eTrade Readiness Assessment, around 90% of online transactions in Algeria are still paid in cash on delivery, with fraud concerns and limited confidence in electronic payment systems cited as primary factors. This is not merely a preference — it is a trust signal. Algerian consumers have heard enough stories of CIB card fraud, fake listings, and non-delivery scams to treat electronic payment as a risk rather than a convenience.

The problem is structural. Algeria’s e-commerce ecosystem lacks the fraud prevention layers that mature markets take for granted: robust chargeback mechanisms, seller verification systems, buyer protection programs, and real-time transaction monitoring. Without these, every transaction is a leap of faith.

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The Fraud Landscape: CIB Cards, Marketplace Scams, and COD Abuse

CIB card fraud in Algeria takes several forms. The most common is unauthorized card usage following credential theft — typically through phishing SMS messages impersonating banks like BNA, CPA, or Baridimob, directing victims to fake payment portals. Card-not-present (CNP) fraud, where stolen card numbers are used for online purchases, is growing as more merchants accept online CIB payments. With nearly 20 million interbank cards in circulation by the end of 2024 and 582 merchants accepting online payments, the attack surface is expanding rapidly. SATIM’s security architecture, while improved, still lacks universal 3D Secure (3DS) implementation, meaning many transactions proceed without the additional authentication layer that would require an OTP or biometric confirmation.

Marketplace fraud on Ouedkniss — Algeria’s dominant classified advertising platform with over 15 million monthly visits according to SimilarWeb data — follows familiar patterns with local twists. Fake vehicle listings with below-market prices lure buyers into advance payment schemes. Electronics sellers post photos of products they do not possess, collect partial payments via CCP or BaridiMob transfers, then disappear. Counterfeit goods, particularly electronics accessories and cosmetics, are listed as genuine with no platform-level authentication. Ouedkniss has introduced seller verification badges and reporting tools, but enforcement remains reactive rather than preventive.

COD fraud works in both directions. Buyers order products with no intention of accepting delivery, costing merchants shipping fees and inventory disruption. Conversely, some sellers ship inferior or wrong products, exploiting the fact that COD buyers typically cannot inspect goods before the delivery driver demands payment. The absence of a standardized returns and refund framework under Algeria’s e-commerce law (Law 18-05 of May 2018) leaves both parties exposed.

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SATIM’s Security Architecture and the Path to 3D Secure

SATIM (Societe d’Automatisation des Transactions Interbancaires et de Monetique) operates the backbone of Algeria’s electronic payment infrastructure. Every CIB card transaction — whether at a physical terminal or online — routes through SATIM’s payment gateway. SATIM gathers 19 members in its interbank electronic payment network, consisting of 18 banks and Algerie Poste. The system adheres to international payment security standards, and SATIM has focused on ensuring the reliability, security, and efficiency of the national payment infrastructure. In early 2025, the system was upgraded with a national instant payment switch, moving beyond traditional card and ATM transactions to support immediate fund transfers.

However, the rollout of 3D Secure 2.0 (3DS2) across Algerian e-commerce merchants has been uneven. While major platforms integrated 3DS authentication by 2025, smaller merchants — particularly those on custom-built websites or social media storefronts — often process payments without it. 3DS2 enables risk-based authentication, allowing low-risk transactions to proceed frictionlessly while challenging suspicious ones with additional verification. Full adoption would dramatically reduce CNP fraud, but it requires merchant-side integration that many smaller operators lack the technical capacity to implement.

SATIM provides fraud prevention measures as part of its payment gateway services, but the sophistication of these systems remains limited compared to the machine-learning-driven fraud detection platforms used by Visa and Mastercard globally. Algeria’s relatively small online transaction volume — the sale of goods segment in e-payment recorded only 9% growth in H1 2024, far behind telecoms and administrative services — means fraud detection models have less training data to work with. As online commerce scales, the investment case for advanced fraud analytics will strengthen.

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Building Consumer Trust: What Merchants and Regulators Must Do

For merchants, the most impactful step is implementing 3D Secure on every online payment endpoint — no exceptions. Beyond that, displaying clear refund and return policies, using SSL certificates (still absent on a surprising number of Algerian e-commerce sites), and obtaining SATIM’s merchant certification badge all contribute to consumer confidence. Merchants should also implement velocity checks (limiting the number of transactions per card per time period) and address verification where available.

For regulators, the priority is enforcing Law 18-05’s requirements around seller identification and consumer protection. Every registered e-commerce platform is legally required to host its website on a “.com.dz” domain, register with the national trade registry, and display the merchant’s trade register number, physical address, and contact information — yet compliance is spotty. The Ministry of Commerce and CNRC (Centre National du Registre du Commerce), which oversee merchant registration, should establish a public registry of verified e-commerce merchants. ARPCE, responsible for regulating electronic communications, should create a centralized complaint mechanism with published resolution statistics. The Banque d’Algerie should mandate 3DS2 for all online CIB transactions, drawing from the EU’s approach under PSD2, where Strong Customer Authentication (SCA) is required for electronic payments with limited exemptions for low-value transactions below EUR 30.

For consumers, practical protection starts with using CIB cards only on verified platforms that display the SATIM payment badge and padlock icon. Monitoring CIB card statements through banking apps (where available) or regular branch inquiries catches unauthorized transactions early. Avoiding advance payment via CCP transfer to unknown sellers remains the single most effective anti-fraud measure. The upgrade of BaridiMob’s daily transaction limit from 50,000 DZD to 200,000 DZD since July 2023 makes mobile payments more practical, but also raises the stakes when fraud occurs. Algeria’s e-commerce ecosystem can mature, but it requires simultaneous action from payment infrastructure operators, platform owners, regulators, and educated consumers.

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Sources & Further Reading

• SATIM — Interbank Payment Solutions Algeria
• ARPCE — Regulatory Authority for Post and Electronic Communications
• Algeria Law 18-05 on Electronic Commerce — Digital Watch Observatory
• Algeria E-Payment Growth H1 2024 — Algeria Invest
• Algeria eTrade Readiness Assessment — UNCTAD
• Algeria E-Commerce Overview — U.S. International Trade Administration
• Algeria’s Payment Rails and SATIM — Transfi
• EMVCo 3D Secure 2.0 Specifications
• EU PSD2 Strong Customer Authentication Guide — Stripe
• Ouedkniss Traffic Analytics — SimilarWeb
• Banque d’Algerie — Electronic Payment Statistics
• Ouedkniss — Algeria’s Classified Marketplace