Finance Minister: Tunisia needs $2.85bn in external financing this year

Tunisian Finance Minister Lamia Al-Zuraibi told Reuters on Monday that her country needs around $2.85 billion in external financing this year and plans to issue a sukuk Islamic bond worth around $500 million to help cover the deficit.

Al-Zuraibi has also confirmed a Reuters report that Tunisia plans to sell one billion euros’ worth of Eurobonds and hold a roadshow on 5 February, adding that more Eurobond issues later in the year are possible depending on how the country’s external financing needs are covered.

Al-Zuraibi told Reuters on the sidelines of a government development presentation and in reference to the sukuk plan that “after a delay of a few years, our plan this year is to issue $500 million to diversify our resources and cover the deficit of 2017.”

This is the first time the Tunisian government has given details of the sukuk issue plan.

“If we don’t manage to fulfil our external financing needs of 6.5 billion dinars ($2.85 billion) then without a doubt we’ll go to capital markets again this year,” she added.

A government source said last Thursday that Tunisia will would start a roadshow on 5 February in order to sell one billion euros in Eurobonds. He added that the government could go to capital markets twice more for a further two billion euros in total, although it was still undecided whether that would be in dollars or euros.