The Bank of Algeria became Algeria’s central bank when Ordinance 62-144 created it in December 1962.
The institution was established soon after Algeria gained independence from France in 1962. Its creation provided the new state with a national monetary authority responsible for currency issuance, monetary policy and management of the country’s foreign-exchange reserves.
Algeria initially continued using the Algerian franc, inherited from the colonial monetary system. The dinar was introduced in 1964, replacing the franc and giving the independent republic its own national currency.
The Bank of Algeria is distinct from Algeria’s commercial banks and from the Ministry of Finance. It is responsible for central-banking functions, while commercial institutions provide ordinary banking services to households and businesses. The bank’s headquarters are in Algiers.