Petkovic, who took charge in February 2024, has overseen a strong turnaround, leading Algeria to 21 wins, four draws and three defeats in 28 matches and guiding the team to qualification for the 2026 World Cup, after their absence from the 2018 and 2022 editions.
Algeria also reached the quarter-finals of the 2025 Africa Cup of Nations after consecutive group-stage exits in 2021 and 2023, while climbing from 43rd to 28th in the FIFA world rankings and from seventh to fourth in Africa during the Bosnian's tenure.
The federation said the extension reflected "stability and confidence in the work accomplished," with Algeria set to open their World Cup Group J campaign against Argentina on June 17th before facing Jordan and Austria.