The Executive Board of the International Monetary Fund (IMF) on Wednesday completed the Fifth Review of Tunisia’s economic program, supported by an arrangement under the Extended Fund Facility (EFF).
The Board’s decision makes available to Tunisia an amount equivalent to SDR 176.7824 million (about US$245 million), bringing total disbursements to SDR 1,161.7133 million (about US$1.6 billion), and catalyze much-needed financing from other partners and international markets.
According to the IMF, socially-balanced macroeconomic stabilization remains the government’s priority for 2019.
Fiscal policies aim at mobilizing revenue and containing current spending to reduce Tunisia’s budget deficit, while maintaining public investment and strengthening the social safety-net for low-income households.
Monetary policy focuses on curbing inflation, and continued exchange rate flexibility will help to improve the current account deficit and international reserves. Structural reforms supported under the arrangement include measures to improve the business climate, broaden access to finance, and reduce corruption, says the IMF.