The total value of the contract will be around €380m, although the deal must be approved by Algeria's National Commission before it reaches financial close.

The first phase comprises two lines, one running 15.5km from the city centre to serve the eastern suburbs and the other running 7.2km south from the city centre to Ain Trick. The line is expected to open in 2017.

According to local press reports, other bidders included a consortium of Astaldi and Cofely Ineo; a Spanish joint venture of Corsano Corviam and Isolux; and China Civil Engineering Construction Company (CCECC).

Alstom has already been awarded contracts by EMA to equip light rail ines in Algiers, Oran and Constantine, while Yapi Merkezi is constructing the first light rail line in Sidi Bel Abbes.