Tunisia's Budget Paradox: Billions in Surplus, Yet Compensation Payments Lag Behind
Despite announcing a budget surplus of 2.94 billion dinars by the end of November 2024, the Tunisian state is accumulating significant payment delays, reaching up to 17 months for some beneficiaries. This paradox highlights an unbalanced budget management, where over one billion dinars owed to various economic sectors, including the dairy industry, bakers, millers, and pasta and couscous manufacturers, have not been paid.
Out of the 11.34 billion dinars allocated to compensation in the 2024 finance law, only 5.46 billion have been spent by the end of November, prioritizing fuel (72.8% of compensation expenses) and transportation (12.5%), to the detriment of basic products (14.7%).
This critical financial situation directly affects the concerned economic actors. For instance, dairy industry professionals have not received compensation since October 2023, accumulating 380 million dinars in unpaid bills. Bakers and millers are facing the same issue, with 352.5 and 105 million dinars in arrears, respectively. These payment delays, totaling over one billion dinars, are weakening these sectors and raising questions about the state's prioritization of expenses.
It appears that funds have been primarily allocated to state structures benefiting from compensation, such as the Office of Commerce, responsible for importing subsidized goods.
Although the 2024 budget allocates significant amounts to compensation (19% of total expenses and 6.5% of GDP), the actual distribution of funds and payment delays create a gap between forecasts and reality. The state plans to gradually reduce compensation expenses by 2026, but the current management of these funds raises concerns about the state's ability to honor its commitments to various economic actors and ensure price stability for basic products for consumers.
