AGP Executive Report

Tunisia Water Governance: Prime Minister Sarra Zaafrani Zenzri chaired a small Cabinet meeting focused on the water system, stressing reforms to protect the constitutional right to drinking water, improve management and maintenance, and avoid sudden cuts while diversifying non-conventional sources. FDI & Industry: Tunisia’s investment push got a boost as the Tunisian Embassy in New Delhi met India’s Jindal Group, which operates across steel, railways, energy, renewables, mining, cement, infrastructure and ports, and is exploring new projects in Tunisia. Digital Cultural Economy: Tunisia and Djibouti launched a technical cooperation visit coordinated by the Tunis International Centre for Digital Cultural Economy, targeting cultural governance, creative industries and digital transformation. Tourism-China Link: Tunisia’s tourism officials say the Chinese market is a growth lever, citing visa exemption as a key driver and highlighting ITB China 2026 promotion efforts and rising arrivals. World Cup Tech & Media: Tribuna.com rolled out a free Arabic World Cup bracket challenge for MENA fans including Tunisia, while beIN SPORTS unveiled a major MENA broadcast team for the tournament.

Water Governance: Tunisia’s Prime Minister Sarra Zaafrani Zenzri chaired a small Cabinet meeting focused on the water system, stressing governance and reform to secure the constitutional right to drinking water, protect water wealth, and prevent sudden cuts through better maintenance and new legislation. Public Program Execution: A restricted ministerial council also reviewed acceleration of public project implementation across sectors, tying delivery to national priorities. Tunisia’s Water Security Push: The government highlighted diversifying water sources and strengthening the legislative framework for management, preservation, valorisation and protection of water resources. World Cup Tech & Media: Tribuna.com launched a free multilingual World Cup Bracket Challenge with an Arabic version for fans across MENA, while beIN SPORTS and SuperSport unveiled major broadcast lineups for the expanded 104-match tournament. Sports Meets Finance: FIFA’s partnership with Kraken and Avalanche is positioning Group F (including Tunisia) as a testbed for digital asset engagement, even without official team tokens. Maritime & Environment: Rare underwater footage captured a great white shark in the Mediterranean during ghost net removal near a shipwreck between Sicily and Tunisia. Travel & Consumer Risk: Reports of “hotel catfishing” complaints linked to Loveholidays include a Tunisia booking that allegedly turned out to be a care home. Energy Shock Context: Coverage on Strait of Hormuz disruption underlines knock-on effects for global trade and industry—relevant for Tunisia’s import-dependent economy.

Water Security Push: Tunisia’s Prime Minister chaired a restricted ministerial council focused on the water system, calling water governance and reform a national priority to protect water sovereignty, food security and citizens’ equal right to drinking water, with measures to keep hydraulic infrastructure running and diversify water sources. Energy & Trade Shock: New reporting on the Strait of Hormuz highlights how disruptions are spreading beyond oil into fertiliser, industrial inputs and broader economic activity, with implications for Tunisia’s energy risk profile. Oil Field Outlook: A new analysis says Tunisia’s Ashtart oil field is expected to reach peak economic activity in 2031, raising questions on long-term profitability for the Gulf of Gabès producer. Security Operations: Tunisia’s counterterror raids earlier this year are cited as proof of operational capability while underscoring that extremist threats persist in the western mountains. Agriculture on the Ground: In Benzerte, harvesting for cereals and fodder is underway across about 176,000 hectares, with 331 combine harvesters and collection centers mobilized to secure stocks. Industry & Tech: ITM 2026 (textile machinery and technical textiles) opened with record international participation, while connected-mobility tech news notes OmniAir certification progress for a roadside unit. Maritime & Environment: Divers captured rare great white shark footage in the Mediterranean during ghost-net removal near the Sicily–Tunisia area.

Public Works Push: Tunisia’s small cabinet meeting focused on speeding up public programmes and projects, stressing better technical and land readiness checks, faster procurement, and tighter execution deadlines to boost investment, growth and jobs. Phosphate & Fertiliser Supply: PhosCo says drilling at its Gasaat project in Tunisia hit thick, shallow phosphate mineralisation at the KH prospect (16.5m–20.5m), adding momentum after the earlier DOH find and supporting plans to grow resources near the proposed plant. Agriculture Logistics: Benzerte kicked off cereal harvesting with 176,000 hectares under major crops, mobilising 331 combine harvesters and preparing 30 collection centres to secure harvest and stocks. Connected Mobility Tech: Iteris’ BlueTOAD Spectra CV roadside unit received OmniAir certification, a sign of growing interoperability for V2X and travel-time detection systems—relevant for Tunisia’s smart transport ambitions. Textile Industry Spotlight: ITM 2026 (textile machinery and technical textiles) opened in Turkey with record international participation, underlining the sector’s push for new production and technology partnerships. Marine Conservation in Tunisia’s Waters: Divers working to remove ghost nets in the Strait of Sicily (between Sicily and Tunisia) captured rare underwater footage of a great white shark, highlighting both biodiversity value and the need to tackle abandoned fishing gear.

Phosphate & Mining: PhosCo says drilling at its Gasaat Phosphate Project in Tunisia hit wide phosphate zones at the KH prospect, returning 16.5m–20.5m down-hole and pointing to another shallow, outcropping discovery that could lift early production economics. Public Works & Procurement: A small Tunis cabinet meeting focused on speeding up public programmes and projects, stressing better technical and land readiness before launch, faster procurement, and tighter execution to boost investment, growth and jobs. Automotive Imports & Local Market: Chery has launched three hybrid models in Tunisia (Tiggo 9 PHEV, Tiggo 4 HEV, Arrizo 8 PHEV), adding six models in six months and reporting strong brand momentum in the new-car market. Energy & Regional Trade: The Eurasian Economic Union is discussing a possible free trade area with Tunisia, highlighting interest in Africa as it maps “promising areas” for negotiations. Inflation Watch: Tunisia’s inflation held steady at 5.5% in May 2026, with food prices up 8.2% and mixed movements in clothing, tobacco, and hotel/restaurant services. Industrial Performance: Glass producer SOTUVER reported 2025 revenue of TND 115.14m (+14%) and net profit of TND 24.74m (+78%), driven mainly by dividend income from its subsidiary. Maritime & Environment: Divers in the Strait of Sicily (between Italy and Tunisia) recorded what’s believed to be the first underwater footage of an adult great white shark in the Mediterranean during a ghost-net removal mission.

Tunisia-Eurasian Trade Talks: Russia’s EAEU is discussing a free trade area with Tunisia, with officials also pointing to broader interest in African markets and advanced talks with India, signaling new trade pathways for Tunisian industry. Renewables Push in the Region: Arab renewable capacity jumped to 39.2 GW in 2025 (+35.9%), led by solar (72.3%); Tunisia added 0.1 GW, highlighting room for faster clean-energy scaling. Auto & After-Sales Expansion in Tunisia: XPENG has launched operations in Morocco and Tunisia, opening a 2,500 sqm sales and service center in Tunisia as part of a North Africa “triangle” strategy. Port & Infrastructure Activity: Deme won dredging work for Tunisian ports, a move that can support maritime logistics and trade capacity. Sfax International Fair Returns: The 60th Sfax Fair (June 9–23) expects about 250,000 visitors and 180 exhibitors, with a revamped pavilion layout aimed at boosting local production and regional business. World Cup Links to Tunisia: Tunisia is set to play in World Cup Group F (vs Netherlands, Japan, Sweden), with matches scheduled across the US, Canada and Mexico.

Industrial Expansion: Egypt’s PM Mostafa Madbouly inaugurated and inspected a cluster of projects in Alexandria’s Borg El Arab zone, including a new Lipton Teas & Infusions production line, Jade Textile ready-made garments, Shahinler apparel expansion, and the first phase of El Gharably Industrial Complex—aimed at deeper local manufacturing, exports, and job creation. Tunisia Trade & Market Control: In Tunis, economic control services recorded 3,173 violations in the first five months of 2026 after 14,300 field inspections, targeting price hikes, missing invoices, subsidy breaches, and quality/supply channel issues to curb smuggling and hoarding. Tunisia Fairs & Tourism: Sfax International Fair (June 9–23) expects nearly 250,000 visitors and 180 exhibitors, with a revamped pavilion layout and family leisure spaces. Regional Energy Risk: The Strait of Hormuz crisis is cited as weighing on Germany’s economy via energy supply disruptions, adding pressure to an already fragile growth outlook. Morocco Tourism Push: Morocco welcomed 7.7M tourists in five months (+7%), reinforcing its position as Africa’s top destination.

Market Control in Tunisia: Tunis regional trade authorities reported 3,173 economic violations in the first five months of 2026 after 14,300 field inspections by 737 control teams, targeting smuggling, hoarding and monopolistic practices; price and monopoly breaches led the list (1,340 cases), followed by transparency/integrity issues (820, including missing invoices and price display failures), subsidy-related diversions (150) and quality/safety/distribution violations (863). Tunisia Digital Commerce: UNCTAD’s Faicel Belaïd said global e-commerce is concentrated in the US (40%), China (18%) and Europe (17%), but Tunisia shows promise with 76% internet penetration and a 2022 readiness assessment pointing to potential for growth if financing and digitisation barriers are addressed. Tunisia Water Stress: Tunisia’s “thirst map” is expanding as rising temperatures threaten worsening water shortages, raising pressure on planning for agriculture and industry. Regional Shipping & Trade: Libya’s Misurata Free Zone received a 9,700-tonne cargo vessel from China, underscoring growing transit links to Tunisia, Morocco and Algeria, while efforts to cut transit times via new direct services continue. Energy Shock Watch: The Strait of Hormuz crisis is weighing on European industry, with Germany’s growth forecast cut to 0.5% as energy supply disruptions raise costs—an external risk Tunisia’s import-dependent economy can’t ignore.

Digital Connectivity: ViaTunisia’s subsea cable segment between Marseille and Bizerte has reached Ready for Service, moving from construction to full operations on a new high-capacity Europe–North Africa route, co-financed by the EU’s CEF Digital programme to boost resilience and reduce outage risks. Water & Utilities: Tunisia’s water expert Houcine Rhili warns drinking-water cuts could worsen this summer, blaming not just dam levels (around 60%) but also logistics, investment in distribution networks, pumping stations, and maintenance by SONEDE. Trade & Prices: Tunisia’s inflation held steady at 5.5% in May, with food prices rising 8.2% year-on-year (notably lamb, poultry, beef, vegetables, fish, and fruit) while edible oils and eggs fell. E-commerce Readiness: UNCTAD’s Faicel Belaïd says global e-commerce is concentrated in the US and China, but Tunisia shows promise thanks to solid tech infrastructure and 76% internet penetration, calling for better financing and digitisation support. Maritime Logistics: Misurata Free Zone reported a Chinese transit vessel bringing 9,700 tonnes of cargo, highlighting growing Mediterranean and North Africa transit links that include Tunisia. Agri-Climate Outlook: FAO forecasts global cereal production down 2% in 2026/27, with wheat expected to fall most—an external pressure point for food supply chains.

Digital Infrastructure: ViaTunisia’s subsea cable segment between Marseille and Bizerte has reached Ready for Service, moving from construction to full operations on a direct, resilient Europe–North Africa route co-financed by the EU’s CEF Digital programme. Maritime & Trade Logistics: Misurata Free Zone received a Chinese transit vessel carrying 9,700 tonnes, underscoring growing confidence in Libya’s Mediterranean hub role and new China–Misurata connectivity efforts. Tunisia Macroeconomy: Tunisia’s inflation held steady at 5.5% in May, while the current account deficit narrowed to 1.5% of GDP by end-April, helped by tourism services and steady remittances despite a wider energy import bill. Water & Agriculture Risk: Water expert Houcine Rhili warns Tunisia may face a tough summer for drinking water supply, pointing to dam levels around 60% plus gaps in distribution logistics, pumping, and investment. Energy Transition Watch: Europe’s hydrogen push highlights the proposed SoutH2 Corridor linking Algeria and Tunisia to Italy, Austria and Germany—ambitious, but energy-loss concerns remain. Business & Finance: Tunisia’s central bank kept the key interest rate unchanged at 7%, citing prudent policy to protect price stability and macro resilience. E-commerce & Digital Economy: UNCTAD’s Faicel Belaïd notes Tunisia’s e-commerce potential, with internet penetration at 76% and calls for better banking financing and easier digitization for investors.

Digital Infrastructure: ViaTunisia’s subsea cable segment between Marseille and Bizerte has reached Ready for Service, moving from construction to full operations on a direct, resilient Europe–North Africa route, co-financed by the EU’s CEF Digital programme and designed to boost capacity, security, and route diversity. Maritime & Trade: The Port of the Misurata Free Zone received a Chinese transit vessel carrying over 9,700 tonnes, underscoring growing confidence in Libya’s Mediterranean logistics hub role for regional supply chains that include Tunisia. Tunisia Macroeconomy: Tunisia’s current account deficit narrowed to 1.5% of GDP by end-April 2026, helped by stronger services (notably tourism) and steady remittances, even as the energy import bill kept the merchandise trade deficit under pressure. Monetary Policy: Tunisia’s central bank kept its key interest rate unchanged at 7% and reiterated a “prudent” approach to support price stability and macro balance resilience. Public Projects: The government reviewed progress on major public programmes, pushing faster execution, better project preparation, and tighter procurement to meet deadlines across sectors. Agri-Environment: New figures highlight olive trees’ climate role, estimating that producing one litre of olive oil can remove about 10.65 kg of CO2 from the atmosphere.

Digital Infrastructure: ViaTunisia’s subsea cable segment between Marseille and Bizerte has reached Ready for Service, moving from construction to full operations on a resilient new Europe–North Africa route co-financed by the EU. Tunisia Macroeconomy: Tunisia’s current account deficit narrowed to 1.5% of GDP by end-April 2026, helped by stronger services (tourism) and steady remittances even as the energy import bill kept the merchandise trade deficit under pressure. Monetary Policy: Tunisia’s central bank kept its key interest rate unchanged at 7%, citing prudent policy to protect price stability while growth held up at 2.6% in Q1 2026. Corporate Finance: Société Accumulateur ASSAD reported a 14.9% revenue drop in Q1 2026, with domestic sales rising but exports falling sharply amid a delay tied to an Algerian import license renewal. Public Projects: Tunisia’s government reviewed progress on major public programs, pushing faster project preparation, better procurement, and tighter execution to meet deadlines. Energy & Industry Outlook: Europe’s hydrogen push spotlights a proposed SoutH2 corridor linking Algeria and Tunisia to EU consumers, while Tunisia’s own industrial pipeline also features PhosCo’s reported phosphate mineralization results in Tunisia. Business & Investment Signals: FT’s Africa fastest-growing companies ranking shows Tunisia debuting in the top five with six firms, reflecting growing North Africa momentum. Agri-Food & Trade: Poullina Group (PGH) posted resilient 2025 results, with agri-food and poultry integration driving revenue and improved margins.

Public Works Push: Tunisia’s restricted ministerial council reviewed how to speed up public project delivery, stressing better project preparation, faster procurement, and fewer execution delays across health, transport, and other sectors. Healthcare Investment: The Economy and Planning ministry outlined hospital construction and upgrades nationwide, including King Salman University Hospital in Kairouan, multiple regional hospitals, e-Health system development, and rehabilitation of medical departments. Digital Infrastructure: ViaTunisia’s Marseille–Bizerte subsea cable segment has reached Ready for Service, boosting resilient Europe–North Africa connectivity and expanding Marseille’s role as a Mediterranean data hub, with EU CEF Digital co-financing. Energy & Industry Angle: A new hydrogen corridor concept links Algeria and Tunisia to European consumers, but the piece highlights major efficiency and electricity demand hurdles—an issue for regional energy planning. Exam Integrity Law: A Tunisian MP backs a draft law to crack down on fraud in national exams and public competitions, targeting modern electronic tools and organized networks with tougher penalties. Agrifood & Exports: Tunisia’s watermelon export campaign is said to be moving normally after authorities cleared a social-media poisoning rumor, while demand remains strong. Tunisia in the World Cup: Tunisia is highlighted in Group F coverage as a physical, resilient side facing Netherlands, Japan, and Sweden.

Digital Connectivity: ViaTunisia’s Marseille–Bizerte subsea cable segment has reached Ready for Service, moving into full operational availability on a new resilient Europe–North Africa route, with EU CEF Digital co-financing covering 30% of construction and management. Energy & Industry: Tunisia’s imports of Chinese solar panels jumped 700% year-on-year, rising from 10MW (Apr 2025) to 80MW (Apr 2026), placing the country 7th among Arab buyers. E-Commerce & Policy: Tunisia recorded 19.3 million e-commerce transactions in 2025 (TND 1,375m), as consultations begin on a National E-Commerce Strategy aimed at modernizing laws, boosting logistics, and expanding electronic payments. Mining & Chemicals: Omar Bouzouada was appointed chairman and CEO of the Gafsa Phosphate Company and the Tunisian Chemical Group, as the state pushes to revive phosphate and fertilizer production. Agriculture Preparedness: Civil Protection held a readiness meeting ahead of summer, focusing on preventing and responding to crop and forest fires. Labor Rights Watch: Tunisia appears in ITUC’s 2026 Global Rights Index list of worst countries for workers’ rights.

Digital Infrastructure: Medusa’s ViaTunisia subsea cable segment between Marseille and Bizerte has reached Ready for Service, moving from construction to full operational availability on a direct, resilient Europe–North Africa route, with EU support via the Connecting Europe Facility (CEF Digital). Energy & Industry: Tunisia’s imports of Chinese solar panels jumped 700% year-on-year in April 2026 (to 80 MW), placing the country among the top Arab buyers and signaling faster momentum for renewables supply chains. Mining & Chemicals: Omar Bouzouada was appointed chairman and CEO of the Gafsa Phosphate Company and the Tunisian Chemical Group, with the government pushing to revive phosphate and chemical fertilizer production. E-commerce & Logistics: Tunisia recorded 19.3 million e-commercial transactions in 2025 (TND 1,375m) as national consultations begin on a National E-Commerce Strategy focused on legal modernization, payments, and logistics services. Agriculture & Food Safety: Tunisian watermelon exports are continuing normally after authorities cleared the fruit of a social-media poisoning rumor, following an investigation that pointed to confusion with toxic wild herbs. Finance & Development: EBRD named Nodira Mansurova as its next regional head for Kyrgyzstan, Tajikistan and Turkmenistan, after her prior role leading the EBRD’s Tunisia operations. Regional Context: EBRD warns Sub-Saharan Africa growth will slow in 2026 amid higher energy costs, trade disruptions, and weaker investment tied to Middle East tensions.

Phosphate & Fertilizer Leadership: Tunisia’s Minister of Equipment and Housing, Slah Zouari, installed Omar Bouzouada as chairman and CEO of the Gafsa Phosphate Company and the Tunisian Chemical Group, formalized by June 1 decree, as the state pushes to revive phosphate and chemical fertilizer output. Telecom Infrastructure: Orange says the Medusa subsea cable segment “ViaTunisia” between Marseille and Bizerte is now operational, supported by an EU grant under CEF Digital. Agribusiness Finance: The Central Bank of Tunisia set rules to reschedule drought-affected farmers’ loans (non-irrigated areas) for 2023-24 and 2024-25 seasons, with coverage for seasonal and investment loan principals and instalments. Textile Workplace Health: Tunisia recorded a 25.1% rise in occupational diseases in 2023, with textile and clothing driving much of the increase, especially in Monastir, Sousse and Mahdia. Consumer Rights & Mobility: OTIC launched the “Tunis Declaration” to challenge costly, opaque visa-service outsourcing and push for clearer fees and possible refunds when applications are rejected. Trade & Investment Pipeline: Tunisia’s TABC and TUCAD launched a Permanent Deal Room to match African infrastructure, energy, industry, logistics and agribusiness projects with investors year-round.