Brief overview of the Tunisian Economy
Country profile
• The area of Tunisia is 163,610 thousand square meters. km;
• Population* – 12.356 thousand people; 1.295 thousand Tunisians live abroad*. 81% of whom live in European countries. The largest communities are in France, Italy and Germany.
• Capital – Tunisia (2.295 million inhabitants);
• official language is Arabic, French is widely spoken;
• state religion – Sunni Islam (99.6%); Christianity -0.2%; other religions -0.2%***
• monetary unit – Tunisian dinar
(1 US dollar = 3.14 dinars
1 dinar = 0.32 US dollar) as of 09/15/2023.
Tunisia's economy is one of the most developed in Africa and plays an important role in the regional context. In recent years, Tunisia has witnessed significant changes in the economy, including the strengthening of the role of the private sector, the promotion of investment and the diversification of industries.
Country profile
• The area of Tunisia is 163,610 thousand square meters. km;
• Population* – 12.356 thousand people; 1.295 thousand Tunisians live abroad*. 81% of whom live in European countries. The largest communities are in France, Italy and Germany.
• Capital – Tunisia (2.295 million inhabitants);
• official language is Arabic, French is widely spoken;
• state religion – Sunni Islam (99.6%); Christianity -0.2%; other religions -0.2%***
• monetary unit – Tunisian dinar
(1 US dollar = 3.14 dinars
1 dinar = 0.32 US dollar) as of 09/15/2023.
Tunisia's economy is one of the most developed in Africa and plays an important role in the regional context. In recent years, Tunisia has witnessed significant changes in the economy, including the strengthening of the role of the private sector, the promotion of investment and the diversification of industries.
MAIN INDICATORS OF THE TUNISAN ECONOMY****
- GDP volume 46.66 USD billion 2022
- Annual GDP growth rate 0.6% Q2/23
- GDP growth rate -1.3% Q2/23
- GDP per capita 3897 USD 2022
- Inflation rate for the year 9.2% Aug. 2023
- Interest rate 8% sen. 2023
- Unemployment rate 16.1% Q1/23
- Trade balance -5847 TND million | -1.851 billion USD Jun. 2023
- Current balance -24016 TND million | -7.604 billion USD 2Q/23
Real GDP grew by about 2.4% in 2022, driven by industry and services, compared with 4.3% in 2021 due to catch-up growth.
Inflation rose from 5.7% in 2021 to 8.3% in 2022, pushing up oil and food prices.
The budget deficit fell from 7.6% of GDP in 2021 to 6.8% in 2022, with payroll, subsidies and debt service accounting for about two-thirds of government spending.
The priority sectors in the Tunisian economy are agriculture, fishing and tourism. In addition, important industries include manufacturing, food processing, building materials, glass and ceramics, chemicals and textiles, as well as mining, mainly phosphate mineral mining.
Tourism has always been an important source of income for the country and has contributed to job creation. The country attracts millions of tourists from all over the world due to its Mediterranean coastline, historical sites and cultural heritage.
According to the National Institute of Statistics
• The number of foreign tourists in Tunisia in 2022 rose to 6.4 million people.
• The maximum number of tourists was recorded in 2020 and reached 9.5 million people, and the minimum in 2021 was 2 million people.
Tourism has typically accounted for about 7% of Tunisia's gross domestic product, but visitor numbers have fallen during the COVID pandemic, putting further strain on the economy.
The agricultural sector plays a significant role in the Tunisian economy. According to AGROEXPORT data for 2021, the agricultural sector accounted for 10.1% of GDP, providing 12.7% of jobs. This sector has significant potential due to the availability of a skilled workforce, developed logistics infrastructure, as well as geographical location, including access to highly profitable foreign markets, primarily to the markets of the European Union.
Tunisian agriculture places particular emphasis on the production of olive oil and citrus fruits. Tunisian olive oil is one of the most famous and highest quality in the world. According to the Federal Customs Service of Russia, imports of olive oil from Tunisia to Russia increased by 40.7% in 2021.
We will talk in more detail about Tunisian olive oil, its quality, categories, production and sales in further articles.
Industry also plays an important role in the Tunisian economy. The country is developing industries such as textiles, automotive, electronics and information technology. Tunisia actively attracts foreign investment in these sectors, which contributes to job creation and technological development.
However, despite the successes achieved, the Tunisian economy faces many challenges. Unemployment remains high, especially among young people, which can lead to social and economic problems. Tunisia's inflation rate reached 10.4% in February 2023, according to the World Bank, the highest in three decades, largely driven by rising energy and food prices. These factors have put significant pressure on the economy, making reforms to promote sustainable growth even more urgent.
____________________________________________________________
*(as of 2023) World Data info
**(as of 2022) Higher Council for Tunisians Abroad
***Pew Research Center. The Global Religious Landscape.
**** according to the exchange portal https://take-profit.org/
Inflation rose from 5.7% in 2021 to 8.3% in 2022, pushing up oil and food prices.
The budget deficit fell from 7.6% of GDP in 2021 to 6.8% in 2022, with payroll, subsidies and debt service accounting for about two-thirds of government spending.
The priority sectors in the Tunisian economy are agriculture, fishing and tourism. In addition, important industries include manufacturing, food processing, building materials, glass and ceramics, chemicals and textiles, as well as mining, mainly phosphate mineral mining.
Tourism has always been an important source of income for the country and has contributed to job creation. The country attracts millions of tourists from all over the world due to its Mediterranean coastline, historical sites and cultural heritage.
According to the National Institute of Statistics
• The number of foreign tourists in Tunisia in 2022 rose to 6.4 million people.
• The maximum number of tourists was recorded in 2020 and reached 9.5 million people, and the minimum in 2021 was 2 million people.
Tourism has typically accounted for about 7% of Tunisia's gross domestic product, but visitor numbers have fallen during the COVID pandemic, putting further strain on the economy.
The agricultural sector plays a significant role in the Tunisian economy. According to AGROEXPORT data for 2021, the agricultural sector accounted for 10.1% of GDP, providing 12.7% of jobs. This sector has significant potential due to the availability of a skilled workforce, developed logistics infrastructure, as well as geographical location, including access to highly profitable foreign markets, primarily to the markets of the European Union.
Tunisian agriculture places particular emphasis on the production of olive oil and citrus fruits. Tunisian olive oil is one of the most famous and highest quality in the world. According to the Federal Customs Service of Russia, imports of olive oil from Tunisia to Russia increased by 40.7% in 2021.
We will talk in more detail about Tunisian olive oil, its quality, categories, production and sales in further articles.
Industry also plays an important role in the Tunisian economy. The country is developing industries such as textiles, automotive, electronics and information technology. Tunisia actively attracts foreign investment in these sectors, which contributes to job creation and technological development.
However, despite the successes achieved, the Tunisian economy faces many challenges. Unemployment remains high, especially among young people, which can lead to social and economic problems. Tunisia's inflation rate reached 10.4% in February 2023, according to the World Bank, the highest in three decades, largely driven by rising energy and food prices. These factors have put significant pressure on the economy, making reforms to promote sustainable growth even more urgent.
____________________________________________________________
*(as of 2023) World Data info
**(as of 2022) Higher Council for Tunisians Abroad
***Pew Research Center. The Global Religious Landscape.
**** according to the exchange portal https://take-profit.org/
