The 19-year-old Spurs midfielder had been touted to break into les Bleus' squad for the World Cup but he has chosen the country of his parents
The 19-year-old has appeared once for France's Under-19 side in a friendly encounter, but is allowed to change allegiance under Fifa rules because he has dual nationality.
Bentaleb has subsequently been called into Algeria's squad to face Slovenia next month, and will be eligible for selection for the country's 23-man squad for the World Cup in Brazil later this year.
"He has agreed to play for the country of his parents after meeting Algerian Football Federation [AFF] president Mohamed Raouraoua," the AFF said in a statement on their official website.
"He will be called up for the game on March 5 against Slovenia in Blida."
Bentaleb has risen to prominence since breaking into Tottenham's first-team under head coach Tim Sherwood in December.
He has made 10 appearances for the side in all competitions thus far and picked up a pair of assists in the club's 4-0 win over Newcastle.
Algeria open their World Cup account in the Group H opener with Belgium in Belo Horizonte on June 17.