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This work aims to present the solvency system currently in the insurance sector in Algeria, more precisely the Solvency I Directive. To identify the shortcomings and limitations of the prudential regulation and finally, to offer recommendations necessary to ensure the development of the activity of insurance in Algeria, and consequently the economy in general. Thus, to present the transition from the Solvency I prudential standard to the Solvency II prudential standard, which was implemented on the insurance market in Europe on January 01, 2016. Finally, the Algerian regulation cannot stay away from international reforms, including the Solvency II standard; it must adapt his system to comply with these standards.

This research aims to present the content of the exceptional measures adopted by the Algerian monetary authorities after the outbreak of the Covid-19 pandemic, in particular those related to the banking sector, and their implications for the banking system, whether in terms of liquidity, credit activity and financial solvency. Among the results obtained: The decrease in the minimum capital adequacy will lead to an increase in banks' lending activity, which may eventually lead to a possible increase in bad debts. Modifying some monetary policy tools will also improve bank liquidity levels and allow banks to meet funding requests from defaulting customers due to this pandemic. The need to improve credit and liquidity risk management mechanisms in accordance with Basel III recommendations. [ABSTRACT FROM AUTHOR]