31.9 C
Saturday 19 June 2021
HomeNewsTunisia plans to issue $ 1.86-billion bonds on international market this year

Tunisia plans to issue $ 1.86-billion bonds on international market this year

The Tunisian government plans to issue approximately $ 1.8 billion of new bonds on the international market in 2014, a major step to help the economy to recover and emerge from the crisis it has faced since the Revolution of January 2011.

“We are carrying out operations related to the issuance of bonds this year, including bonds worth $ 880 guaranteed by the United States and $ 1 billion guaranteed by Japan. We obtained the approval of both governments and we will try to start most of these operations during the first half of 2014,” Governor of the Central Bank of Tunisia, Chedly Ayari told Reuters.

In addition, 700 MTD ($ 435 million) in Sukuk will be guaranteed by the Islamic Development Bank, says the governor of the central bank.

The Tunisian government will issue its first Sukuk Islamic bonds that are guaranteed by the Islamic Development Bank between April and May, he said.

The high cost of living and a lack of economic opportunities remain major concerns for many Tunisians, despite the political progress made by Tunisia in relation to other countries in the region.

The Governor of the Central Bank indicated that the targeted inflation rate for 2014 is 5.4%, against 6.1% in 2013, adding that the central bank is ready to increase the key interest rate over the months to come if consumer prices continue to rise.

Tunisia ‘s central bank raised its benchmark interest rate to 4.5% against 4 % in December, the second increase in 2013 to curb inflation, which reached 6.5% in March this year last .

“We are ready to intervene again and raise the key rate if inflation remains high, but we must also stop wage increases in the public sector this year and adopt a policy of austerity under the state budget to contribute to reducing inflation.

“If political stability continues, we will reach 3.5 %. But it will not be enough to reduce unemployment,” said the Governor of the BCT.


Please enter your comment!
Please enter your name here

- Advertisement -