US-Africa Business Forum, an opportunity to boost Tunisia’s cooperation with partners

President Beji Caid Essebsi takes part Wednesday in the US-Africa Business Forum held in New York with the participation of nearly 35 countries and over 200 US companies.

The participation of the Head of State in this forum to which he was invited by US President Barack Obama is an opportunity to address the needs of Tunisia in terms of economic, financial and investment co-operation with partners (States and financial firms), particularly in this difficult situation.

Through the promotion of co-operation with its partners, Tunisia aspires to win the bet of economic development, the fight against terrorism and youth employment in particular.

The United States is among the first countries that welcomed the Tunisian revolution. President Obama had stated before the US Congress: “We saw the desire to be free in Tunisia, where the will of the people proved more powerful than the writ of a dictator.” He added: let us be clear: The United States of America stands with the people of Tunisia.

In May 2015, US President Barack Obama had declared Tunisia as its non-NATO ally while hosting his Tunisian counterpart Beji Caid Essebsi at the White House.

Tunisia has become the 16th country to become a part of NATO ally of United States.

According to analysts specialising in Tunisian-US relations, this initiative is part of the security and military support provided to Tunisia by Washington as it faces the explosive situation in Libya.

 The US actually counts on Tunisia to help defuse the crisis in Libya and fight terrorism that has become a real threat to the entire region.

In the opinion of military experts, the award of this status to Tunisia allows it to enjoy security, military and logistical benefits and training support. This status also entitles Tunisia to hold sophisticated weapons sold exclusively to strategic US allies, say the experts.

 The Head of State’s visit to the US in March 2015 was also an opportunity to sign a memorandum of understanding on security cooperation, economic development and promotion of democracy.

The US administration had then pledged to favour the realisation of reforms undertaken by Tunisia, particularly through the guarantee of a loan worth $ 500 million.

This guarantee allows Tunisia to benefit from an interest rate of 2 per cent (against 5.2 pc) repayable over a period of 7 years for a gain of nearly $ 224 million.

  Furthermore, it was agreed to establish a joint committee to monitor different files to facilitate procedures for investors and to design innovative project ideas.

From 2011 to 2015, the US has granted the Tunisian successive governments a total budget of $ 700 million in grants or aid, in addition to loan guarantees of nearly one billion dollars, according to the US Embassy in Tunis.

Tunisia’s imports from the United States quadrupled from 160 million in 2010 to $ 606 million in 2015, according to statistics from the World Trade Organisation and the Tunisian Institute of Statistics.

Tunisia’s exports to the US were nearly $ 206 million in 2015, against $ 215 million in 2010. Trade did not exceed 2.6 pc.

Regarding investment, some analysts find that the economic US investment rate in Tunisia does not exceed $ 105 million. This volume represents only 2 pc of foreign companies operating in Tunisia, exclusive of energy.

In terms of security, the US has allocated to Tunisia a budget of nearly $ 225 million in aid, which consisted mainly of weapons and vehicles, in addition to assistance in training and fight against terrorism, smuggling and organised crime.