SIH’s chairman, Mr. Hamid Melzi, has 30 years of experience in the tourism industry and almost single-handedly developed the country’s coastline. He argues that the sector will grow rapidly in the next five years, given certain requirements. "I can create 10,000 beds in that time. There is the potential and the interest from investors – especially from the Middle East. But infrastructure has to be developed and we have to invest in employee training. We are creating a special school for our hotel staff as it’s the only way to give our customers the proper level of service."
Interestingly, this flurry of activity is taking place without any significant competition. "I am alone," Mr. Melzi laughs. "People don’t believe me. Good for me!"
On the telecommunications side, Sweden’s Ericsson has also made a significant investment in Algeria. SITEL, a joint stock company between Ericsson (35%) and the Algerian government (65% held by four state-owned Algerian firms), was established in 1998 to manufacture Ericsson’s digital telephone equipment. With an annual capacity of up to one million lines per year, SITEL’s operations include manufacturing telecommunications equipment, engineering, installation and maintenance. SITEL’s CEO, Mr. Amin Baghli, argues that the combination of Algerian assets and the know how of Ericsson has made this partnership work. "When Ericsson needs to install new equipment in Algeria, it does it through SITEL. SITEL was set up to equip the national network, so this partnership provides opportunity for a foreign company, for the digitalization of the Algerian network, and at the same time leaving room for local talent to participate."