Tunisia might call on IMF for financing

The minister responsible for investment has voiced out that the country’s actual economic situation might force the government to ask for a precautionary standby credit line worth $2.5 billion from the International Monetary Fund.  He said they not completely ruling out the idea because they need the sum in order to give assurances to their financing need.
Tunisia’s public expenditure for next year is already covered and the credit line will be allocated to the year which follows, 2014. “Next year our public expenditure is essentially covered, thanks also to lines of credit for a total of $1 billion from the World Bank and the African Development Bank,” the minister said, adding Tunisia needs $3 billion for 2013. “So we are not planning to ask for further international support from the IMF,” he added.
The country is still battling to revive its economy and the World Bank approved a $500 million loan this week to help it recover from the effects of the revolution which ousted Ben Ali. Donors have also pledged to give almost $700 million.
The loan, the World Bank’s second since the revolution that veteran ruler Zine al-Abidine Ben Ali fled in January 2011, aims to support Tunisia’s economic recovery by providing funds to improve the business and financial sectors and reform social services.
The task is not being made easy the population starts getting impatient. The salafists on the other side are propagating violence. In a recent development, At least 200 people were injured as Tunisians demanding jobs clashed with police earlier on in the city of Siliana in a region on the edge of the Sahara desert that has long complained of economic deprivation.
Trade has declined too due to the crisis in the euro zone.

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