Tunisia: Government issues a TND500m national bond

May 22, 2014

The Tunisian government launched on May 12 a national bond of 500 million dinars (€226 million).

The Tunisian government launched on May 12 a national bond of 500 million dinars (€226 million).

Preferential conditions were put in place to encourage
participation of individuals, newspaper Jeune Afrique reports.

"Normally because of the system of withholding taxes at source,
Treasury knows who invests and how much. We made sure that individuals can subscribe while remaining anonymous," said the Tunisian Finance Minister, Hakim Ben Hammouda. Individuals will also be able to redeem their shares through banks before the end of term.

Ben Hammouda added that the government, through this loan, wishes to mobilize the population around priorities.

"The funds will be allocated first and foremost to investment, including infrastructure projects such as roads," he said.

Since its independence in 1956, Tunisia has launched two national bonds - the first took place in 1964 and the second one in 1986, after the economic crisis that hit the country in the 1980s.