Ahmed Murad (Tunisia, Cairo)
The Tunisian presidency and government continue their efforts to address the difficult economic and living conditions that most sectors of the people suffer from, and are embarking on two paths. The first relates to negotiations with the International Monetary Fund on a financing program, and the second relates to searching for alternatives and other sources of the required financing.
Last year, Tunisia reached an initial agreement with the International Monetary Fund regarding a $1.9 billion loan, but negotiations later faltered due to Tunisia’s refusal to implement some of the Fund’s conditions.
The Tunisian political activist, Suhaib Al-Mazriqi, explained that Tunisia’s negotiations with the IMF are still ongoing and ongoing, as announced by the Tunisian Foreign Minister, pointing out that there are European efforts to bring points of view closer together in order to reach a meeting point.
The International Monetary Fund requires the implementation of several reforms to obtain financing, including reducing the general budget deficit, restructuring state-owned companies, lifting subsidies on some products, and devaluing the dinar to prevent the central bank from using reserves to support the local currency.
Al-Mazriqi stated in a statement to Al-Ittihad that Tunisia does not seek to give priority to one party over the other in its international policy and financial dealings, and from this standpoint the Tunisian state has not severed its relationship with international donors, pointing to Tunisia’s involvement in the work of the International Monetary Fund since April 24, 1958.
Al-Mazriqi pointed out that there are other alternatives available to Tunisia, as there are several funds and financing destinations that it can rely on, such as the African Development Bank and the Arab Bank, in addition to the mechanism of bilateral borrowing with some countries.
Al-Mazriqi stressed the importance of the “self-reliance” policy that Tunisian President Kais Saied mentioned more than once, by working to create wealth, creating a new climate that helps develop the economy, taking into account the current global developments, and moving towards strengthening the agricultural sector to avoid the food crisis. In addition to developing the industry, services, energy and mining sectors, and improving the investment climate.
While Fitch Ratings Agency expects the IMF to approve the financing program for Tunisia soon, some economic analysts’ estimates indicate the ability of the Tunisian economy to withstand without the Fund’s program in the short term, especially with the rise in reserves and the marginal adjustment of financial conditions thanks to the recovery in tourism.
For his part, the Tunisian writer and political analyst, Bassam Hamdi, explained that Tunisia is moving towards new options, including self-reliance through reforming many sectors and developing production, in addition to some partnerships with Arab countries, but at the same time these options are not a substitute for a loan. IMF.
Hamdi said in a statement to Al-Ittihad that there is no escape from completing the agreement with the IMF, especially since the deficit in the general budget requires huge sums estimated by some circles at about 15 billion Tunisian dinars, and Tunisia cannot receive them in the form of loans or donations from… Other international organizations.
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