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Tunisia, IDB sign two funding agreements

Tunisia and the Islamic Development Bank (IDB), Monday, signed two funding agreements. The first funding agreement, worth 50 million Tunisian dinars (MTD) with an annual interest-rate of 2.5% and repayable over 20 years, pertain to an agricultural development project in ten delegations, six in the governorate of El-Kef and four in Kasserine’s. The project aims to improve agricultural produce, preserve land fertility and develop basic infrastructure, to make it easier for the farmers’ marketing of their produce. The second credit, worth 75 MTD with a 3-per-cent interest-rate repayable over 15 years, provides for financing a micro-credit programme to support self-employment and develop investment for the benefit of youths. Tunisia’s Solidarity Bank (BTS) will be tasked with overseeing realisation of this programme by means of granting micro-credits for the benefit of the university graduates and craftsmen wishing to create small projects.

Besides, IDB grants 480,000 dinars to BTS to develop products of Islamic funding adapted to micro-credits.

In this same connection, a memorandum of understanding was signed fixing co-operation modalities between Tunisia and IDB for the 2012-2014 period in the fields of basic infrastructure, agriculture, higher education, regional development, employment and the private sector.

During a working session, held on Monday with the IDB delegation, International Co-operation and Investment Minister Ridha Bettaieb emphasised Tunisia’s will to develop co-operation with the Arab funding institution, particularly in matters of development and Islamic funding.

IDB President Ahmed Mohamed Ali underlined his group’s readiness to bolster relations with Tunisia which is one of the founders of the Bank, as well as enlarge the co-operation fields through partnership and technical support.

He asserted will to help Tunisia develop Islamic funding, specifying in this respect that this activity, according to some experts, is a strong potential for growth. Islamic funding registers, in fact, an annual rise between 15 and 20%.

IDB president expressed the Bank’s readiness to boost co-operation with Tunisia.

Members of the IDB group also asserted will to present a support to Tunisia to diversify exportations to Africa’s southern countries, Asia and the Middle-East, as well as make available to the small and medium enterprises funding lines in the Tunisian banks and present guarantees to IDB members countries’ investors to launch projects in Tunisia.


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