Tunisia Overview

In 2004, Tunisia experienced a second consecutive year of sustained growth, due to good performances of its main two economic poles: agriculture and tourism. Annual GDP growth rate was 5.6% in 2003, 5.8% in 2004 and 5% in 2005. The IMF forecasts a 5.9% growth in 2006. Tunisia shows one of the best regional economic performances but has to face high unemployment (15% of the active population), high public and external debt and necessity to diversify its economy. Tunisia plans to become a regional pole in the field of Information Technologies (IT) but this sector is not growth-generating yet.

Agriculture provides nearly 12% of the GDP and employs almost a quarter of the active population. Agricultural yields strongly depend on climatic vagaries. Cereals and olive oil are the main crops. Tunisia benefits from some mining resources such as oil, gas or iron. The country is one of the world's leader phosphates producer. The manufacturing industry amounts to 20% of the GDP and textile is the main activity. Tourism is very developed and the country attracts over five million visitors a year.

Tunisia is pursuing its policy of foreign economic openness started in 1998, when EU-Tunisia association agreement came into effect. A wide free trade zone between the EU and 12 South-Mediterranean countries including Tunisia should be implemented by 2010. The country's top three trade partners are France, Italy and germany, concerning exports as well as imports. The country mainly imports machinery, hydrocarbons, capital goods and cotton.