Finance

EU finances Tunisia’s budget deficit to the tune of 200 million euros




The European Union Ambassador to Tunisia, Marcus Cornaro, said today, Wednesday March 30, 2022, that the union is ready to finance Tunisia for 4 billion euros, without the condition of signing an agreement with the International Monetary Fund, including 1 billion euros under bilateral programs with the government which will be directed towards the sectors of education, services and social programs.

Marcus Cornaro confirmed that the European Union is ready to invest 3 billion euros in Tunisia between 2022 and 2027, in the alternative energy and green economy sectors, as well as the telecommunications and digitalization sectors.

The European official also said that the European Union will continue its support for Tunisia, but that it adheres to the return of legitimate institutions, indicating that the Tunisian government will receive financial support worth 20 million euros to make in the face of rising energy and grain prices due to the war between Russia and Ukraine.

He also added that 200 million euros have been mobilized in the form of budget support within the framework of ongoing joint programmes.

It should be noted that the European Union is Tunisia’s leading trading partner, with more than half of trade with the rest of the world, and European investments represent around 85% of the country’s total foreign direct investment, according to data from the National Institute of Statistics published in 2021.

The same data indicates that Tunisian imports from the euro zone amounted to 30 billion dinars last year, against exports worth 32.7 billion dinars.

Italy and France alone account for about 50% of Tunisia’s foreign trade, and they are among Tunisia’s most important partners in terms of exports and imports.

Since 2004, Tunisia has adhered to the European Neighborhood Policy launched by the European Union in order to support and strengthen stability, security and prosperity in the southern and eastern neighborhoods of the Mediterranean basin and adhere to the universal values ​​of democracy. , the rule of law and respect for human rights.

In November 2012, a “privileged partnership” between the European Union and Tunisia was created in order to lay the foundations for cooperation between the two parties between 2013 and 2017, like the Mobility Partnership, Open Sky, the high-level political dialogue on security and the fight against terrorism, the European framework programs and the Creative Europe programme, and then a series of negotiations on partnership agreements were launched, following the example of the Deep and Comprehensive Free Trade Agreement – ​​“ALECA”.

Since 2017, the European Union has committed to granting Tunisia an annual grant of 300 million euros, until the end of the implementation period of the National Development Plan in 2020.

In 2020, Tunisia obtained two loans on preferential financial terms within the framework of budget support, the first for an amount of 300 million euros and the second for 500 million euros.




What’s going on in Tunisia?
We explain on our YouTube channel. Subscribe!






About the author

on100dayloans

Leave a Comment