Tunisia: Oil & Gas Slump, Tourism Collapse – Bonds To The Rescue?

Tunisia has launched an €850mn international bond to help cover its projected $2.3bn 2017 budget deficit. The central bank says the seven-year bond priced at 5.625% was twice oversubscribed.

Finance Minister Lamia Zribi says Tunisia will return to the market later this year with the aim of achieving a total of $2.85bn in external financing including $550mn via a sukuk.

Tunisia’s economy has struggled since the 2011 Arab Spring. More democracy has meant more instability and a rise of Islamic extremism, with the key tourism and energy sectors badly hit.

Tourism is a pillar of the economy. 2014 revenue of $2.14bn equated to 7% of GDP but that was before a precipitous 54% fall in 2015 with terrorist attacks at Sousse and on Tunis’ Bardo museum. (CONTINUED - 987 WORDS)

DATA INSIDE THIS ARTICLE

chart Tunisian Oil Output Fell To Just 43,700 B/D In Q4, Half 2008 Levels (‘000 B/D)
chart Gas (Mn Cfd) Is Also Down Sharply, Albeit Erratically So With Industrial Unrest Slashing Early-2016 Output Nawara Delay: Now 'End-2018'