Tunisia's real GDP growth cooled to 2.3% y/y in the fourth quarter of 2013 from 2.4% in Q3 on shrinking agriculture and oil and gas output, the statistics office INS said in a flash statement. In 2013, real GDP growth reached 2.6% y/y, retreating from 3.6% the year before. The reading undershoots the EBRD’s forecast of 2.9% GDP growth in 2013 and the IMF’s 3.0% projection. The slowdown reflects weaker domestic and external demand, and the sharp impact of social unrest on production, especially in the mining and energy sectors.
Political and security developments in Tunisia have weighed on the economic activity in 2013. The economic activity will likely not recover before 2015 as the transition period has taken much longer time, according to central banker Chedly Ayari.
The 2014 draft budget tables 4.0% GDP growth.
The manufacturing sector remained strong in Q4 2013, expanding by 3.1% y/y. The output was supported by a 3.9% y/y growth in the textile and clothing sector, a 1.2% rise in the mechanical and electrical industries and a 13.9% expansion in the chemical sector. The mining and energy sector, however, shrank 4.2% y/y in Q4 on lower phosphate output and strikes in exploration sites. The agriculture output dropped 4.1% y/y in Q4 widening from 3.9% contraction the previous quarter on poor harvest.
Related Articles
Egypt brings new gas well online with 10mn cubic feet/day output
Egypt’s Ministry of Petroleum and Mineral Resources is finalising procedures to bring a new natural gas well, North El-Basant-1, into production with an expected output of around 10mn cubic feet ... more
Tunisia kicks off stalled expansion of solar projects with 1.3GW capacity push
Tunisia is finally accelerating the deployment of its large-scale photovoltaic (PV) sector after years of slow progress, with construction now underway across multiple major projects, PV-Magazine ... more
Shell and Petronas seek 20% gas price increase for Egypt’s West Delta marine phase
UK energy major Shell (LON:SHEL) and Malaysia's national oil and gas company Petronas have asked the Egyptian Natural Gas Holding Company (EGAS) to raise the gas price for the upcoming Phase 12 ... more