Tunisia - World Bank Loan of 500 Million Dollars
3 December 2012
Read by 1335 persons
The World Bank announced today the approval of a 500 million dollar loan. This loan will also help to consolidate economic growth and job creation in the medium term.
"The agreement signed today sends a clear signal about the historic changes underway in Tunisia," said Inger Andersen, World Bank Vice President for the Middle East and North Africa Region. The reforms thus financed will strengthen employment opportunities in Tunisia while improving the quality of social services and the transparency of public administration. These are all crucial demands expressed by citizens throughout the country."
The purpose of this new loan is to accelerate Tunisia's economic recovery by providing the country with quick-disbursing assistance to support reforms designed to encourage equitable and sustained growth that benefits all segments of society.
4 main objectives:
* Improve the business environment by reducing red tape, combating bribery and enhancing investment transparency;
* Strengthen the stability of the financial sector through strategic audits and improved prudential regulation;
* Reform essential social services, including improving the management of job entry support programs for young people and establishing certification and accreditation mechanisms for higher education and health sector institutions and personnel;
* Promote transparency through better public access to information and greater transparency in budget preparation and monitoring.
As part of its reform program, the Tunisian government has undertaken to simplify regulations in partnership with the private sector. Reducing the bureaucracy that hinders Tunisia is one of the World Bank's top priorities since the revolution, as it is crucial in combating corruption and promoting private sector investment, particularly among small and medium-sized enterprises. Thus, a pilot program launched last year by the Ministry of Finance, with the cooperation of the private sector, is working to eliminate 10% of tax and customs regulations and significantly streamline 85%.
With the loan granted today, the World Bank is continuing its work with the Tunisian government to extend this regulatory reform to nine other ministries responsible for economic affairs.
For the preparation of this new loan in support of development policies, the World Bank consulted a wide range of stakeholders from the administration, civil society and the private sector. This operation extends the World Bank's assistance to the transition in Tunisia, undertaken in collaboration with its development partners, including the African Development Bank (AfDB) and the European Union (EU). These partners have made an additional 700 million dollars available as part of a broader financing plan to support the vital transition process in Tunisia.
The World Bank's strategy for Tunisia, which guided the priorities of this new loan, was revised in September. Designed to provide sufficient flexibility to the World Bank's support for Tunisia, this strategy aims to support the country's political and economic transition by increasing its attractiveness to investors, while ensuring a more equitable distribution of jobs and services throughout the country, especially in rural areas, which have so far been neglected in favor of urban centers.
Espacemanager.com
Published November 28, 2012.
Posted online December 3, 2012.
"The agreement signed today sends a clear signal about the historic changes underway in Tunisia," said Inger Andersen, World Bank Vice President for the Middle East and North Africa Region. The reforms thus financed will strengthen employment opportunities in Tunisia while improving the quality of social services and the transparency of public administration. These are all crucial demands expressed by citizens throughout the country."
The purpose of this new loan is to accelerate Tunisia's economic recovery by providing the country with quick-disbursing assistance to support reforms designed to encourage equitable and sustained growth that benefits all segments of society.
4 main objectives:
* Improve the business environment by reducing red tape, combating bribery and enhancing investment transparency;
* Strengthen the stability of the financial sector through strategic audits and improved prudential regulation;
* Reform essential social services, including improving the management of job entry support programs for young people and establishing certification and accreditation mechanisms for higher education and health sector institutions and personnel;
* Promote transparency through better public access to information and greater transparency in budget preparation and monitoring.
As part of its reform program, the Tunisian government has undertaken to simplify regulations in partnership with the private sector. Reducing the bureaucracy that hinders Tunisia is one of the World Bank's top priorities since the revolution, as it is crucial in combating corruption and promoting private sector investment, particularly among small and medium-sized enterprises. Thus, a pilot program launched last year by the Ministry of Finance, with the cooperation of the private sector, is working to eliminate 10% of tax and customs regulations and significantly streamline 85%.
With the loan granted today, the World Bank is continuing its work with the Tunisian government to extend this regulatory reform to nine other ministries responsible for economic affairs.
For the preparation of this new loan in support of development policies, the World Bank consulted a wide range of stakeholders from the administration, civil society and the private sector. This operation extends the World Bank's assistance to the transition in Tunisia, undertaken in collaboration with its development partners, including the African Development Bank (AfDB) and the European Union (EU). These partners have made an additional 700 million dollars available as part of a broader financing plan to support the vital transition process in Tunisia.
The World Bank's strategy for Tunisia, which guided the priorities of this new loan, was revised in September. Designed to provide sufficient flexibility to the World Bank's support for Tunisia, this strategy aims to support the country's political and economic transition by increasing its attractiveness to investors, while ensuring a more equitable distribution of jobs and services throughout the country, especially in rural areas, which have so far been neglected in favor of urban centers.
Espacemanager.com
Published November 28, 2012.
Posted online December 3, 2012.
