Tunisia

A subdued recovery unfolds amid economic imbalances and political uncertainty. Growth reached 2.6 percent in 2018, but the unemployment rate persisted above 15 percent. The current account deficit widened to 11.2 percent of GDP on the back of higher oil prices. Inflation has recently stopped its upward trend, but still stood at 6.9 percent in April. Strong revenue performance reduced the fiscal deficit to 4.6 percent of GDP in 2018 from 6.0 percent in 2017 and created space for higher investment and social outlays. All but two Quantitative Performance Criteria and four of the nine Structural Benchmarks for the Fifth Review were met.