IMF Staff Statement on Tunisia

Download logo

The International Monetary Fund (IMF) mission which visited Tunis on 23-25 ​​March held a constructive discussion on the reform program of the Tunisian authorities. The discussions also discussed the impact of the war on Ukraine, which is an important challenge for the rest of the world and Tunisia, just at a time when the country is emerging from the pandemic.

The Mission would like to thank the Head of Government; Minister of Finance, Economy and Planning, Social Affairs, Industry, Mining and Energy, and Trade; and the Governor of the Central Bank of Tunisia for discussion.

Tunisia faces major structural challenges resulting in deep macroeconomic imbalances, weak growth despite strong potential, high unemployment, weak investment and social inequality. The effects of the pandemic and war in Ukraine are now adding to these structural challenges.

The authorities’ program aims to address these challenges in a sustainable and equitable manner. In the short term, it aims to reduce the impact of the war on Ukraine, while in the medium term, to ensure stronger and longer lasting inclusive growth and social protection. In that context, the program seeks to create fiscal space for public investment and increase social protection.

The IMF considers that careful reduction of the fiscal deficit through equitable tax reforms, tighter control over the public sector wage bill, more targeted subsidies, and deep reforms in state-owned enterprises are necessary to restore macroeconomic stability, as well as to improve efficiency. state-owned enterprises, and strengthen the competitiveness of the Tunisian economy. Initiatives aimed at improving competition and the business climate are also important to unlock the country’s growth potential and job creation.

The IMF supports Tunisia as it faces the Covid-19 pandemic in a very difficult global environment. Today we continue to stand by the Tunisian authorities in their efforts to advance economic and social reforms for the benefit of the population. In this context, the mission has made further progress in technical discussions with the Tunisian authorities.

Distributed by APO Group on behalf of the International Monetary Fund (IMF).

This Press Release has been issued by APO. Content is not monitored by the Business Africa editorial team and is not content that has been vetted or validated by our editorial team, evidence readers or fact checkers. The publisher is fully responsible for the contents of this announcement.

IMF Staff Statement on Tunisia

Source link IMF Staff Statement on Tunisia

Back to top button