Tunisia - Financial Sector Modernisation Support Programme II

Tunisia - Financial Sector Modernisation Support Programme II - (PAMSFI II)

Project Summary

Approval Date	15 May 2019
Signature Date	13 Jun 2019
Planned Completion Date	31 Dec 2020
Last Disbursement Planned Date	31 Dec 2019
Sovereign / Non-Sovereign	Sovereign
Sector	Finance
DAC Sector Code	24030
Environmental Category	3
Commitment	U.A 95,777,031.07
Status	Completion

Project General Description

The proposed operation is a EUR 120 million loan to the Republic of Tunisia to finance the Financial Sector Modernisation Support Programme II (PAMSFI II). It is in line with the Bank's strong commitment to support the Tunisian Government in the implementation of its general policy vision as set out in the 2016-2020 Strategic Development Plan (SDP). PAMSFI II will be implemented over the period 2018-19, and is a vehicle for support to the Bank’s other operations in Tunisia. Therefore, its impact will consolidate the achievements of PAMSFI I and other policy-based programmes aimed at improving regional development and job creation. Indeed, these programmes support regional structures, the business framework in the regions as well as youth employability, whereas PAMSFI will provide complementarity on the supply side of financing by targeting project proposers and VSME. PAMSFI II comprises two complementary components. The first component aims at reducing social, territorial, regional and gender disparities through better financial inclusion. The second component aims at building the financial sector’s resilience and developing capital markets to ensure efficient financing of the economy.

Project Objectives

The goal of PAMSFI II is to create the necessary conditions for accelerated, resilient and inclusive economic growth by strengthening the financial sector’s role in financing the economy and vulnerable segments of the population. In particular, it aims to support the emergence of a new development model for Tunisia, in which the private sector can develop and generate employment throughout the country, and where disadvantaged segments of the population can contribute to, and benefit from, growth. The Programme’s specific objectives are to strengthen and deepen financial sector governance by improving access by the population and businesses to diversified financial services.

Beneficiaries

The programme's end-beneficiary is the Tunisian population. It will benefit from improved living conditions due to inclusive and sustainable economic growth made possible by the creation of economic opportunities and jobs. The private sector will also benefit from PAMSFI. Its access to financing will be facilitated by the improved supply of financial services, including in the country's hinterland. Access to savings services will enable people with low and often irregular incomes to maintain a more stable level of consumption over time. In addition, access to financing for very small, small and medium-sized enterprises (VSMEs) should help to create more jobs.

Participating Organization

Implementing

GOUVERNEMENT DE TUNISIE MINISTERE DES FINANCES

Funding

African Development Bank

Information

IATI identifier	46002-P-TN-HZ0-005
Last Update	21 Mar 2023

Export

Contact Details

Name	Ismail MAHAMOUD HOUSSEIN
Email	i.mahamoudhoussein@afdb.org

Geographic Location

Country	Tunisia

Coordinates	Location Name
36.81897 10.16579	Tunis

Project Classification

Finance Type	Aid Loan Excluding Debt Reorganisation
Flow Type	ODA
Aid Type	General Budget Support

Commitments

U.A 95,777,031

African Development Bank

U.A 95,777,031.07

Disbursements

Repayments (Interest & Loan)

Document Type	Language	Document
Appraisal report	en	viewer
Appraisal report	fr	viewer
Evaluation Report	fr	viewer
Project Completion Report	en	viewer
Project Completion Report	fr	viewer
Project Completion Report	fr	PN11023 SR FR

Indicator	Indicator Measure	Target Year	Target Value	Actual Year	Actual Value
Financial inclusion ratio	%	2019	38.0	2021	38.0
Proportion of women beneficiaries of microcredit (in relation to total number of beneficiaries )	%	2019	55.0	2021	54,5
Credit to the private sector ( as a percentage of GDP)	%	2019	86.0	2021	80,9
Contribution of the financial market to the financing of gross fixed capital formation in the private sector	%	2019	11.0	2021	9,1
Publication of the Order on the doubling of the microcredit ceiling	Tunisian Dinar	2019	40000.0	2021	Achieved
Transmission of the draft decree setting out the administrative and financial penalties	None	2019	Order for administrative sanctions against MFIs issued before the end of the programme	2021	Achieved
Launch of the digital payment product for public education students' enrolment (% of students conduct their enrolments on line)	%	2019	100.0	2021	Not Achieved
Publication of the Decree on the Real Estate Loan Guarantee Fund for the population with irregular income	None	2019	Decree published before the end of the programme	2021	Achieved
Adoption by the Council of Ministers of the draft law establishing the Bank of the Regions (BDR)	None	2019	BDR established	2021	Achieved
Signing of the agreement between the MoF and SOTUGAR for the Dhamen Express guarantee product for SMEs	None	2019	Agreement signed	2021	Achieved
Publication of the decree establishing the SME Restructuring Fund	None	2019	Decree establishing the fund is published	2021	Achieved
Adoption by the Council of Government of the draft law on crowdfunding	None	2019	Draft law adopted	2021	Achieved
Signing of agreement between the Ministry of Finance, the Ministry of ICTs and SOTUGAR	None	2019	Agreement signed	2021	Achieved
Submission to the FATF of the CTAF report on the status of the Action Plan	None	2019	Report on the implementation of the action plan submitted	2021	Achieved
Publication of the law on the fight against terrorism and suppression of money laundering	None	2019	Law published	2021	Achieved
Forwarding by the Minister of Finance to the Council of Ministers of the draft law on the Insurance Code	None	2019	Insurance Code forwarded	2021	Achieved
Publication of the law on the policy of waiving outstanding receivables	None	2019	Law is published	2021	Achieved
Separation between the procurement commission and the commission in charge of complaints	None	2019	Launch of the work to separate the commissions	2021	Achieved
Submission by the DGDPP to the Minister of Finance of the draft law establishing the Tunisia Debt Management Office	None	2019	Draft law is submitted	2021	Achieved
Publication of amendments to the Stock Exchange General Regulations relating to the restructuring of the regulatory framework for the Alternative Market	None	2019	Greater access to the equity market for SMEs	2021	Achieved
Publication of the decree on monetary SICAVs	None	2019	Decree published	2021	Achieved