Tunisia will have consultations with the International Monetary Fund (IMF) in approaching weeks and may inquire more financing facilities, a senior official at the lender said.
Tunisia agreed with the fund in April to borrow $743 million to help counter economic mayhem from the coronavirus pandemic after a previous long-term IMF loan programme had expired.
“They may request – they did not do it yet – they may request other fund facilities,” Jihad Azour, director of the Middle East and Central Asia department at the IMF, told Reuters.
The North African democracy expects its economy to shrink by 7% this year and its fiscal deficit to balloon to 14% of gross domestic product (GDP). It has received financial support from the European Union and the World Bank.
Even before the pandemic, Tunisia had suffered a poor economic record, with sluggish growth, high unemployment and declining public services, since its 2011 revolution ended autocratic rule.