Brussels, 17/04/2014 (Agence Europe) - On Wednesday 16 April, the European Parliament approved granting Tunisia aid of €300 million, as part of a package to directly support its balance of payments.
A report stated that the Parliament's go ahead for this macro-financial assistance is expected to help give the Tunisian economy room to breathe, which has “been significantly affected by domestic events connected to the situation prevailing in southern Mediterranean countries since the end of 2010 (…) and the agitation that resulted from this in the region, particularly in neighbouring Libya”. These events and “the global economic environment of apathy, particularly the recession in the eurozone (Tunisia's main trading and financial partner) have had very negative repercussions on the Tunisian economy and have led to a slowdown in growth and significant external financial and budgetary deficits”. The report stated that this assistance comes in the shape of “an exceptional financial instrument aimed at providing support, without strings and without any specific earmarking, to the balance of payments. It aims to re-establish the viability of the beneficiary's external finances”. It is “subject to the precondition that Tunisia respects democratic principles, particularly parliamentary pluralism and the rule of law and that it guarantees human rights”. It also comes with a condition demanding transparency and efficiency in the context of economic recovery. (FB)