Arab and Western donors pledged $9.6bn in aid to Tunisia at a two-day investment conference this week organized to support its struggling economy (see table). The country’s finances have been under pressure since the 2011 uprising, which marked the beginning of the Arab Spring. Tunisia’s democratic transition is now seen as the only political success story of the Arab Spring, but the country has made slow progress in making economic reforms to boost growth.
Tunisia is suffering from labor unrest – which has hit oil and gas output (MEES, 23 September) – with sky-high youth unemployment, whilst jihadist attacks have hurt tourism and investment inflows. The investment conference aimed to attract FDI for some 140 projects with an investment cost of $32bn. (CONTINUED - 296 WORDS)