Tunisian authorities received a letter from International Monetary Fund (IMF) Managing Director Kristalina Georgieva that included the acknowledgment that Tunis will remain a reliable partner.
Tunisian government sources said that the IMF welcomed the reform package, which was discussed between the government and labor union.
They indicated that the program that the IMF will discuss must guarantee the stability of the Tunisian economy in the near future coupled with sustainable growth.
According to the correspondence, the fund stressed it is fundamental to tackle the problem of sustainability of public finances and debt, implementing ambitious reforms of public companies, salaries of the public administration and energy subsidies. It called for addressing the entrepreneurial climate, stability of the financial sector and financial inclusion, social protection and governance.
Tunisian economist, Mohsen Hassan believes the IMF would react positively to the government's demand to finance its economic program, which will not be affected by the political and economic crisis.
He stressed the possibility of agreeing on a new economic program that would enable the mobilization of the necessary financial resources to protect the country from bankruptcy and chaos.
On Sunday, the IMF stated that Tunisia formally requested a new financing program, lauding the efforts of the government’s talks with the Tunisian General Labor Union (UGTT) on subsidies, taxes and state institutions.
Georgieva said she would assign a delegation to conduct technical talks as soon as she receives more information about the reform program.
Tunisia’s economic program addresses six main issues: liberalization of the economy and an improvement of the entrepreneurial climate, improvement of the fiscal system, reform of the public function, the transformation of public companies and a program of investments to revive the economy.
Tunisia reported a budget deficit of TD18.5 billion, according to preliminary estimates, however, a number of economists believe it will increase to 21.5 billion this year.
