The portfolio has three problem projects: 1) Tertiary Education for Employability; 2) Youth Economic Inclusion; and 3) Integrated Landscape Management. Increased revenue in the coming years will allow for more public investment and a stronger focus on issues such as healthcare and education. Youth and women in inland areas of Tunisia are affected the most, and the resulting outward migration of youth poses a threat to Tunisia’s long-term prospects of economic competitiveness. Tunisia remains a country of contrasts: while important progress has been made on political transition toward an open, democratic system of governance—uniquely in the Middle East & North Africa (MENA) region—economic transition has not kept pace. To support the people and Tunisian government, USAID is helping the private sector create more jobs and move forward on a stronger fiscal and economic framework. Prudent economic and fiscal planning have resulted in moderate but sustained growth for over a decade. TAEF’s objectives are to promote private sector development, increase investments in promising small- and medium-sized enterprises (SMEs) in Tunisia’s economy, and improve access to finance especially for SMEs to promote and disseminate international commercial best practices. Tunisia’s current account deficit will remain in the double digits over the forecast period but will start to improve as of 2021 as growth picks up and energy import costs decline with the increase in local gas production. With USAID funding, CEED Tunisia has trained over 450 entrepreneurs in Tunis and is expanding into the south of the country. In addition, the project will address market and policy constraints to improve the business climate and the matching between workforce development programs and private sector needs to enable SMEs to expand and hire new workers. Interest rates are now all positive in real terms, except for some deposit rates. The IMF Press Center is a password-protected site for working journalists. Growth will be supported by expansion in agriculture, manufacturing, and tourism, and the coming online of the Nawara gas field. All rights reserved. The dinar has appreciated by 8.5 percent against the Euro since the beginning of 2019, reversing a multi-year trend of currency depreciation. This site uses cookies to optimize functionality and give you the best possible experience. It also introduced competitive central bank foreign exchange auctions to support liquidity in the market. Measurable progress is already being made. Make a general inquiry or suggest an improvement. We face big challenges to help the world’s poorest people and ensure that everyone sees benefits from economic growth. This will help slightly narrow the current account deficit, also thanks to surplus in improved services (tourism) and transfers (remittances). Below are four key charts that highlight different aspects of the Tunisian economy: The authorities will also seek to increase the value added tax rate for the services of liberal professions from 13 percent to 19 percent.