Egypt partners with Google to promote 'unmatched diversity' tourism campaign    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Taiwan GDP surges on tech demand    World Bank: Global commodity prices to fall 17% by '26    Germany among EU's priciest labour markets – official data    UNFPA Egypt, Bayer sign agreement to promote reproductive health    Egypt to boost marine protection with new tech partnership    France's harmonised inflation eases slightly in April    Eygpt's El-Sherbiny directs new cities to brace for adverse weather    CBE governor meets Beijing delegation to discuss economic, financial cooperation    Egypt's investment authority GAFI hosts forum with China to link business, innovation leaders    Cabinet approves establishment of national medical tourism council to boost healthcare sector    Egypt's Gypto Pharma, US Dawa Pharmaceuticals sign strategic alliance    Egypt's Foreign Minister calls new Somali counterpart, reaffirms support    "5,000 Years of Civilizational Dialogue" theme for Korea-Egypt 30th anniversary event    Egypt's Al-Sisi, Angola's Lourenço discuss ties, African security in Cairo talks    Egypt's Al-Mashat urges lower borrowing costs, more debt swaps at UN forum    Two new recycling projects launched in Egypt with EGP 1.7bn investment    Egypt's ambassador to Palestine congratulates Al-Sheikh on new senior state role    Egypt pleads before ICJ over Israel's obligations in occupied Palestine    Sudan conflict, bilateral ties dominate talks between Al-Sisi, Al-Burhan in Cairo    Cairo's Madinaty and Katameya Dunes Golf Courses set to host 2025 Pan Arab Golf Championship from May 7-10    Egypt's Ministry of Health launches trachoma elimination campaign in 7 governorates    EHA explores strategic partnership with Türkiye's Modest Group    Between Women Filmmakers' Caravan opens 5th round of Film Consultancy Programme for Arab filmmakers    Fourth Cairo Photo Week set for May, expanding across 14 Downtown locations    Egypt's PM follows up on Julius Nyerere dam project in Tanzania    Ancient military commander's tomb unearthed in Ismailia    Egypt's FM inspects Julius Nyerere Dam project in Tanzania    Egypt's FM praises ties with Tanzania    Egypt to host global celebration for Grand Egyptian Museum opening on July 3    Ancient Egyptian royal tomb unearthed in Sohag    Egypt hosts World Aquatics Open Water Swimming World Cup in Somabay for 3rd consecutive year    Egyptian Minister praises Nile Basin consultations, voices GERD concerns    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Economic woes in Tunisia
Published in Al-Ahram Weekly on 21 - 08 - 2013

Politics in Tunisia have come to a standstill with the suspension of the country's constituent assembly, and the parties making up Tunisia's troika coalition government have been unable to find common ground with the opposition. Meanwhile, life seems to be going on as usual in the rest of the country, albeit in a schizophrenic way.
The sit-in that has been taking place in front of the Constituent Assembly has failed to attract large numbers of people, and the nearby beaches, by contrast, are full of families having fun, from Al-Morsi and Sidi Bousaid in the northern suburbs to Borg Al-Sadria and Suleiman in the south. The beaches of Hammamat, Soussa, Al-Mahdia, and Jerba are also packed, as are the hotels.
Nightlife is not any different either. Weddings go on as usual, people go out shopping, and, if they do not do as much as before, they seem to be spending more on food stuffs, perhaps stocking up in case of unpredictable circumstances.
Talking to shoppers, a common complaint is that everything has become more expensive over recent months. Chokri Al-Naboulsi, for example, a 40-year-old shopper in Tunis, said that he had not been able to buy as much as he would have liked on his regular trip to the supermarket.
Al-Naboulsi comes from Manzal Bourguiba in Bizerte and used to work for a foreign company making industrial footwear. He moved to the capital after the business closed a month ago, hoping to find work in the informal sector. While Al-Naboulsi has found a job paying about 450 dinars, or almost $300, per month, this is only just enough to pay the rent and feed his family of six.
The family doesn't buy meat or fish except on rare occasions. Al-Naboulsi's wife also makes sweets at home and sells them in front of schools and in bus stations to make ends meet. If it wasn't for the extra money she is making, the family wouldn't be able to afford medicine or buy clothes.
For these reasons, Al-Naboulsi was not able to buy the things that he would have liked on his trip to the supermarket. The latter had run out of subsidised flour and couscous, as often happens, many people stocking up on such goods out of fears of shortages. “Maybe there will be civil conflict in Tunisia as there has been in other places,” Al-Naboulsi said.
“I have had to borrow money to pay the water and electricity bills. My wife and I are now living with my mother-in-law. This is not a situation we can put up with for long. I need to find better work fast, in order to keep the family together,” he said.
Many people in Tunisia today find themselves in Al-Naboulsi's position. The factory in which he used to work laid off 400 workers in one go and without any warning, and there were no compensation payments. Instead, the doors of the factory were suddenly bolted, and hundreds of families were left without any income.
Other factories have done the same thing, and companies are closing across Tunisia, both in the capital and in the provinces. Investors are hurting, but it is the workers who are hurting the most.
Foreign investors have been complaining that the frequent sit-ins and strikes that have been taking place in Tunisia have been damaging their profits. When shipments are delayed at ports, producers and merchants alike lose business.
The governor of the country's Central Bank, Chedly Ayari, told the French newspaper Le Monde recently that the economic situation in Tunisia was “catastrophic”, and that the politicians needed to agree on a new constitution and swiftly hold elections.
The US credit-rating agency Standard and Poor's has also downgraded Tunisia's foreign and domestic credit from BB- to B, and slashed the country's per capita growth forecast by one half, from 2.8 per cent to 1.4 per cent.
It also predicted a balance of payments deficit of more than 5 per cent through to 2016, due to the country's weak exports. Experts expect Tunisia's rating to be lowered again over the next few months, at which point the country will be considered nearly bankrupt.
Civil servants have started to worry that the government may soon find itself unable to pay their salaries, and the Tunisian dinar is now trading at US$1.6, a record low.
Those Tunisians who have relatives abroad are doing their best to leave the country, but of course this option is not available to all.


Clic here to read the story from its source.