Tunisia Proposed Compact

The proposed compact aims to address two key constraints to economic growth in Tunisia: excessive market controls and government intervention, in the transport and trade sectors, and water scarcity in the interior regions.

The proposed Transport and Trade Project aims to reduce the time and cost for businesses to engage in trade in Tunisia, and particularly in Tunisia’s principal Port of Rades. This includes investments to improve management and expand infrastructure at Rades, as well as support the reduction, simplification, and digitalization of trade procedures and regulations in the transport sector. The proposed project will also support improved access to markets for women-owned enterprises.

The proposed Water Demand Management and Productivity project aims to achieve efficient and sustainable use of scarce groundwater resources while investing in improved irrigation systems and increasing the incomes of its users in central and southern regions of the country.

The proposed compact also features the American Catalyst Facility for Development (ACFD) in Tunisia, a project that will catalyze and enable investment from the U.S. Development Finance Corporation that supports or complements compact project objectives.

Milestones in Compact Development

Milestones in Compact Development
Milestone Date Description
CN on Intent to Negotiate April 1, 2021

Congressional Notification of MCC’s Intent to Negotiate the proposed compact.

Eligibility Notification December 15, 2020

The MCC Board of Directors reselected Tunisia as eligible to continue developing a compact.

Eligibility Notification December 9, 2019

The MCC Board of Directors reselected Tunisia as eligible to continue developing a compact.

Eligibility Notification December 11, 2018

The MCC Board of Directors reselected Tunisia as eligible to continue developing a compact.

Eligibility Notification December 19, 2017

The MCC Board of Directors reselected Tunisia as eligible to continue developing a compact.

Eligibility Notification December 13, 2016

The MCC Board of Directors selected Tunisia as eligible to develop a compact.

Constraints Analysis December 11, 2012

The Government of Tunisia finalized a Constraints Analysis to identify the most binding constraints to economic growth.

As of June 1, 2021