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Home National

ARP rejects an AFD loan intended for SMEs

by Webdo
Tuesday 8 April 2025 06:55
in National
ARP rejects an AFD loan intended for SMEs
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The Assembly of People’s Representatives (ARP) rejected, Monday, April 7, 2025, Bill 85/2024 approving a loan agreement between the Tunisian Republic and the French Development Agency (AFD).

This loan, signed on June 25, 2024, aimed to finance a credit line in favor of small and medium -sized enterprises (SMEs) to support economic recovery.

Despite the government’s support, the proposal did not reach the required majority. On the deputies present, 48 voted in favor, 31 against and 13 abstained. However, according to the Constitution, the adoption of an ordinary bill requires the majority of the members present, with a minimum of a third of the deputies. The absence of a sufficient quorum thus led to the rejection of the text.

This refusal comes as Tunisia multiplies the use of external funding, a trend that arouses tensions within the political class. While some believe these borrowings necessary to revive the economy, others denounce excessive debt which would compromise the financial sovereignty of the country.

This loan, in the amount of 80 million euros (around 270 million Tunisian dinars), had been submitted to the ARP at the request of the Presidency of the Republic. He was part of a series of loans recently approved by Parliament, a choice that caused lively debates. Several deputies and observers criticize a debt policy deemed worrying, pointing to the absence of a clear strategy to guarantee the financial viability of the country.

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