December 3, 2022

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Tunisia: Diaspora remittances amount to 4.03 billion dinars

Tunisia: Diaspora remittances amount to 4.03 billion dinars

# Tunisia : Remittances from the Tunisian diaspora increased sharply in the first six months of this year compared to the same period last year. Its volume almost covered the country’s massive debt servicing during this period.

Tunisia can rely on remittances from its citizens abroad, which are still active, despite the difficult economic situation in their host countries and accelerating inflation that reduces their ability to save.

According to the data of the Central Bank of Tunisia, from the beginning of the year until July 10, remittances from Tunisian migrants amounted to 4.03 billion Tunisian dinars, equivalent to 1.31 billion dollars, compared to 3.48 billion Tunisian dinars in the same period last year. An increase of 15.71%. At this level, they represent 55.60% of the transfers recorded for 2021.

This increase in the remittances of Tunisian expatriates, which is estimated at 1.3 million members, the vast majority of whom reside in the countries of the European Union, is explained by the improvement in the income of this community, which has many highly qualified people, and the increase in the volumes transferred during the period. These years of crisis in order to better support the families who remained in the country and who faced difficult situations.

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The strength of these remittances is a boon to the Tunisian economy. First, it is currently the main source of the components of the country’s foreign exchange reserves, along with foreign credits and is far ahead of tourist revenues, and is still affected by the health crisis and the global economic situation, as well as foreign direct investment (FDI). Which has diminished due to the global economic crisis and the unfavorable economic environment in the North African country. Thus it helps to ensure the payment of imports of goods and services from the country.

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Then the current level of transfers covers the equivalent of 95% of the accumulated external debt service since the beginning of the year, a total of 4.25 billion dinars. This represents a new breath for the authorities in the context of the scarcity of external financial resources due to the delay in negotiations with the International Monetary Fund (IMF).

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Finally, these remittances contribute significantly to improving the daily life of immigrant families in Tunisia who are facing a sharp rise in prices and a severe economic crisis exacerbated by the health crisis, and more recently due to the effects of the Russian-Ukrainian conflict.

Reluctant to invest in Tunisia due to the business environment, remittances from this community are generally directed towards expenditures related to consumption, health, education, real estate…