Talks on a $1.9 billion IMF loan have been stalled since October after President Kais Saied rejected terms including subsidy cuts and a reduction in the public wage bill. "Macro assistance is still on the table but this needs to meet IMF conditions," said the EU official with knowledge of the negotiations. "Tunisia says it may not need an IMF agreement so we will see in Q3." Tunisia is on the edge of a major debt crisis and is suffering from shortages of essential goods. Most debt is internal but there are foreign loan repayments due later this year, and credit ratings agencies have said Tunisia may default.

Source: The North Africa Journal July 17, 2023 22:39 UTC