The recent reform of Tunisia’s cheque legislation, which came into force a few months ago, continues to disrupt traditional payment practices in the country.
As cheques become more tightly regulated, businesses have increasingly turned to bills of exchange as an alternative—leading to a surge in the use of these commercial instruments… and a spike in defaults.
According to the latest available data, the total value of bills of exchange in circulation reached 11 billion dinars for February and March 2025.
However, nearly one in ten of these instruments was rejected due to insufficient funds in issuers’ accounts, amounting to one billion dinars in unpaid bills.
Economists are sounding the alarm, viewing this level of non-payment as particularly troubling.
A Domino Effect from the Cheque Reform
The tightening of rules surrounding cheque use—intended to combat fraud and abuses linked to bounced cheques—has paradoxically shifted the problem elsewhere.
Many businesses, particularly small and medium-sized enterprises (SMEs), previously relied on post-dated cheques to schedule payments and manage cash flow.
This informal yet widespread practice allowed transactions to go through even when immediate liquidity was lacking.
With new legal constraints in place, maintaining this system has become increasingly difficult.
As a result, economic actors have turned en masse to bills of exchange, seen as a more flexible legal tool—but also one that offers less security.
Surge in Cash Circulation
Simultaneously, the complications surrounding the use of modernised cheques have led a growing number of consumers and businesses to favor cash payments. This shift has caused a noticeable increase in cash circulating in the market, further straining corporate liquidity.
According to Bilel Darnaoui, CEO of Société Monétique de Tunisie, who recently spoke on a national radio station, the use of bills of exchange is rising sharply, particularly in business-to-business transactions.
A Warning Sign for the Economy’s Structural Integrity
The accumulation of one billion dinars in unpaid bills over just three months raises serious concerns about the financial health of certain market players.
It also highlights a glaring lack of guarantee mechanisms for the use of bills of exchange, which are increasingly becoming risky instruments for creditors.
The proliferation of payment defaults could trigger a domino effect along supply chains, further weakening an economic fabric already strained by inflation, shrinking purchasing power, and geopolitical tensions.
In light of these developments, experts are calling for action to:
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strengthen the regulation of commercial instruments;
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develop more flexible and secure financing solutions;
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and promote the digitization of business payments to mitigate the risks of fraud and default.
The broader objective is to preserve trust among economic stakeholders while ensuring the continuity of transactions in an increasingly uncertain environment.
This crisis in traditional payment systems calls for an urgent strategic reassessment at the intersection of financial reform, monetary policy, and the business climate.
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