Summary:

On 23 March 2024, the CEO of state-operated oil distributor AGIL, Khaled Bettine, confirmed that no increases were expected in fuel prices in 2024.

              [mepr-show if=”loggedout”] Please login or purchase an InBrief membership to view the rest of this report [/mepr-show] [mepr-show if=”loggedin”]

The announcement is in line with expectations laid out in the 2024 finance law. Bettine indicated that the 2024 finance law estimates of the oil price at $81 per barrel were “reasonable.” However, oil prices have risen to about $83 per barrel and have continued to rise in recent weeks as OPEC states seek to manage production volumes toward a higher price per barrel.

Meanwhile, on 28 March, an official from the Consumer Guidance Organization confirmed that an agreement was reached with the Central Bank of Tunisia to freeze bank fees in 2024. The agreement comes as complaints have risen about banking fee hikes.

Outlook: 

In a politically significant year, policies that will tangibly appeal to the Tunisian population are unsurprising. Gas prices and banking fees are common frustrations expressed on the street in Tunisia, with both creating barriers to entry into vehicle ownership and the banking system respectively.

President Kais Saied has made his socially oriented policy agenda plain as he seeks to position himself as an advocate for average Tunisians in the face of corruption and exploitation. While this approach may not significantly increase voter participation in the upcoming presidential elections, it will likely continue to discourage any meaningful political dissent or challenge.

While the government’s ability to actively manage the economy has its limits, such efforts will likely continue through the 2024 election period.

[/mepr-show]

Explore our services or speak with our team of North Africa-based risk experts.