Tunisia: The government wants the Central Bank governor to go.
The move by the political component the government to sack the governor of the central bank has inflamed investor concerns because business in Tunisia remains in a feverish and unstable state post Arab Spring.
Source : https://www.marocafrik.com/english/Tunisia-The-gov...
Tunisia, has been prey since the fall of the regime of Zine El Abidine Ben Ali a year ago and a half to persistant instability.
This has resulted in capital flight by foreign investors, exacerbated by unemployment and a decline in tourist arrivals, needs to avoid economic collapse by holding up the bar of macroeconomic balances high with a marked rigor in its monetary policy including its inflation rate along with interest and exchange rates.
Unable to maintain by rule of thumb, a reduction in budget deficits, the provisional government, led by the Islamist party Ennahda, has found itself confronted by El Kamel Nabli, Central Bank governor, who refuses any relaxation of his iron grip on monetary policy.
El Nabli has protested against any political interference in monetary management of the country, arguing that this is purely technical work, exclusively within his jurisdiction, while the government of Hamadi Jebali advances a goal for inflation which is considered untenable by the central bank, especially since it reached 5.7%.
This has resulted in capital flight by foreign investors, exacerbated by unemployment and a decline in tourist arrivals, needs to avoid economic collapse by holding up the bar of macroeconomic balances high with a marked rigor in its monetary policy including its inflation rate along with interest and exchange rates.
Unable to maintain by rule of thumb, a reduction in budget deficits, the provisional government, led by the Islamist party Ennahda, has found itself confronted by El Kamel Nabli, Central Bank governor, who refuses any relaxation of his iron grip on monetary policy.
El Nabli has protested against any political interference in monetary management of the country, arguing that this is purely technical work, exclusively within his jurisdiction, while the government of Hamadi Jebali advances a goal for inflation which is considered untenable by the central bank, especially since it reached 5.7%.
Source : https://www.marocafrik.com/english/Tunisia-The-gov...