EU sends Tunisia 300 million euros more to mitigate the impact of the pandemic

The European Commission assures that it is a loan with "favourable" conditions and supports the constituent process opened by Kais Saied
Kais Saied

AFP/KARIM JAAFAR  -   Tunisia's President Kais Saied

The European Commission on Wednesday sent a fund of 300 million euros to the Tunisian government in the form of aid that Brussels hopes will help to mitigate the economic impact of the COVID-19 pandemic and promote the country's financial stability in the wake of the war in Ukraine. 

This is a long-term loan which, according to a communiqué from the EU executive, includes "very favourable" conditions for its future repayment to the European Union (EU). 

The Commission hopes that these funds will help to alleviate Tunisia's balance of payments and fiscal situation, while at the same time supporting the implementation of structural economic reforms in sectors such as public administration, social services and state enterprises. 

According to the same communiqué, the European Commissioner for Economic Affairs, Paolo Gentiloni, Tunisia is a "key partner of the EU" and stated that, with this disbursement of 300 million euros, Brussels is demonstrating its desire to support "the Tunisian people" in "these difficult times", now marked by the war in Ukraine. 

In particular, the Commission pointed to the negative impact that the Russian invasion in Ukraine is having on energy and food supplies, and recalled that this new economic fund is the second part of an aid package whose first part, worth the same amount of 300 million, was already disbursed in June 2021. 

"The EU firmly supports the Tunisians in their determination to preserve the country's democratic achievements and will continue to support much-needed economic reforms to ensure a more prosperous future," the EU leader said. 

In this respect, the Commission pointed out that Tunisia is now facing a new political scenario, with the organisation, first, of a constitutional referendum this July, and then of parliamentary elections next December, planned by President Kais Saied. 

The EU applauded this roadmap, believing that it is based on an 'inclusive dialogue' with all political actors and that, in its opinion, it respects both fundamental rights and the rule of law, something that, according to the EU, will be key to 'guaranteeing stability' in the country.