Inditex Shutters Algerian Stores Amid Strategic Reassessment

Spain's Inditex, owner of Zara, has temporarily closed its franchise-operated stores in Algeria. Despite the closure, operations in the country are not ceasing. Similar closures have occurred in Ukraine and Israel, with operations resuming in some regions under franchise agreements.

Spain's retail giant Inditex, known for its popular fashion brand Zara, has temporarily closed its franchise-operated stores in Algeria, a company source revealed to Reuters. Despite the closure, Inditex, which boasts a global presence with 5,692 stores, has no plans to exit the Algerian market entirely.

This move mirrors previous temporary closures in countries including Ukraine and Israel. However, Zara stores in Ukraine have recently reopened, and online sales have resumed, showcasing the company's strategy of adapting to changing circumstances.

Inditex's partner in Algeria and other regions, the UAE-based Daher Group, has yet to comment on the closures. This situation underscores the ongoing challenges and strategic decisions facing global retail chains.

(With inputs from agencies.)