Grace Ashiru
Jumia ceased operations in Algeria in February 2026, according to its full-year 2025 financial report. The exit continues the eCommerce company’s strategy of focusing on markets with clearer paths to profitability.
Algeria contributed approximately 2% of Jumia’s gross merchandise value in 2025 prior to the shutdown. The market was one of Jumia’s remaining North African operations alongside Egypt and Morocco, following the company’s earlier exit from Tunisia.
The company acknowledged the decision would negatively impact short-term financial performance but described it as part of a geographic recalibration aimed at improving efficiency and enabling focus on markets with stronger growth trajectories and profitability prospects.
The Algeria exit occurs as Jumia faces intensifying competition from Chinese platforms including Temu and Shein across African eCommerce markets. Jumia has responded by opening a sourcing office in Yiwu, China, to strengthen direct procurement and improve price competitiveness.
Temu entered Nigeria in 2024 with aggressive advertising and ultra-low pricing, quickly driving user sign-ups and transaction volumes. By 2025, the platform had expanded its cross-border eCommerce footprint to match Amazon’s market share in the segment.
Competition has been particularly intense in South Africa, where Temu and Shein jointly account for 37.1% of the country’s eCommerce market for clothing, textiles, footwear, and leather. Jumia exited South Africa in October 2024, citing concerns around scale, margins, and competitive intensity.
The Algeria withdrawal follows a pattern of market exits as Jumia narrows its geographic focus. The company previously withdrew from Tunisia and South Africa as part of its effort to streamline operations and concentrate resources on markets offering stronger returns.
