IMF - Tunisia Loan Deal Amounts to $1.75 Billion
According to reports, the International Monetary Fund confirmed that it had agreed to a $1.75 billion standby loan agreement with Tunisia. Christine Lagarde, Managing Director of IMF, said that the two year loan agreement still needs the approval of the IMF Board of Directors.
The loan agreement, known formally as stand-by agreement, stated that it "will support the implementation of the Tunisian authorities' reform program to promote private investment, foster sustainable job-creation, reduce economic and social regional disparities, and strengthen social policies to protect the most vulnerable."
Ms Lagarde said in a statement, "The implementation of an appropriate policy mix will help preserve macroeconomic stability and together with a better composition of public expenditures, will help restore fiscal space for priority capital and social spending." She also added that the reforms "deserve the support of the IMF and the international community through financial assistance, policy advice and technical assistance."
The financial problems of the country started two years ago when a revolt broke and ousted its ten years old dictatorship in January of 2011. The revolution ignited the Arab Spring.