Tunisia's foreign currency reserves fall below level seen as adequate
Tunis - Tunisia's foreign currency reserves have dropped to just 95 days of import cover, below the level the central bank considers adequate, due to a plunge in foreign investments and tourism revenues, the bank said on Tuesday.
Source : https://www.marocafrik.com/english/Tunisia-s-forei...
Tourism and foreign investment have slumped since a revolution that toppled Tunisia's former ruler two years ago, mirroring a similar situation in Egypt which is grappling with a budget crisis since its own revolution.
Tunisia's central bank said foreign currency reserves stood at 10.291 billion Tunisian dinars by May 24, equal to 95 days of import cover, compared to 101 days a year earlier.
Central bank Governor Chadli Ayari has said that Tunisia needs to maintain foreign reserves that cover at least 100 days' imports.
The North African country is in talks with Qatar over a deposit in the Tunisian central bank "with easy conditions", Prime Minister Ali Larayedh said last week.
Last month, the International Monetary Fund said it had reached a $1.75 billion loan deal with Tunisia to ease the country's financial problems.
The country is struggling with rising inflation, a big external trade deficit and an uncertain political outlook.
Consumer price inflation stood at 6.4 percent in April, although down slightly from 6.5 percent in March.
The assassination in February of opposition politician Chokri Belaid ignited the worst street violence since the revolution. Elections expected towards the end of this year are likely to create fresh uncertainty with the risk of more riots or religious violence.
Tunisia's central bank said foreign currency reserves stood at 10.291 billion Tunisian dinars by May 24, equal to 95 days of import cover, compared to 101 days a year earlier.
Central bank Governor Chadli Ayari has said that Tunisia needs to maintain foreign reserves that cover at least 100 days' imports.
The North African country is in talks with Qatar over a deposit in the Tunisian central bank "with easy conditions", Prime Minister Ali Larayedh said last week.
Last month, the International Monetary Fund said it had reached a $1.75 billion loan deal with Tunisia to ease the country's financial problems.
The country is struggling with rising inflation, a big external trade deficit and an uncertain political outlook.
Consumer price inflation stood at 6.4 percent in April, although down slightly from 6.5 percent in March.
The assassination in February of opposition politician Chokri Belaid ignited the worst street violence since the revolution. Elections expected towards the end of this year are likely to create fresh uncertainty with the risk of more riots or religious violence.
Source : https://www.marocafrik.com/english/Tunisia-s-forei...