Tunisia

Investing

FDI in figures

For the last few years, foreign direct investment (FDI) has registered an important evolution in Tunisia. It represents currently 10% of productive investment, generates one third of exports and 1/6 of the total number of jobs.

Foreign Direct Investment	2004	2005	2006
FDI of inward flow (millions USD)	639	782	3,312
FDI inward stock (millions USD)	n.c.	n.c.	21,779.0
Performance Index*, world ranking	77	81	41
Potential Index**, world ranking	65	68	n.c.
Number of Greenfield investments	9	33	26
FDI inwards (in % of GFCF)	10.1	12.2	48.6
FDI stock (in % of GDP)	n.c.	n.c.	71.0

Source: UNCTAD, World Investment Report

Note: * The UNCTAD Inward FDI Performance index is based on a ratio of the country's share in global FDI inflows and its share in global GDP. ** The UNCTAD Inward FDI Potential index is based on 12 economic and structural variables such as GDP, foreign trade, FDI, infrastructures, energy use, R&D, education, country risk.

Why you should choose Tunisia

Strong points: The country's credit-worthiness guarantees its access to international capital markets. The growing diversification of the economy reinforces its resistance to economic crises. Tunisia enjoys a strategic position on the Mediterranean. Tunis is a 2 hour flight, on average, from the principal European capitals. A well developed social system and an ambitious education policy aim to reduce the social cost of adjustment and to reinforce the modernization of the country. Tunisia has a qualified, productive workforce and competitive salary levels.
In addition, the Finance Law of 2007, together with measures in favor of technological innovation and economic competitiveness, provide a very favorable terrain for SMEs. To facilitate the emergence of new companies, two tools were created at the end of 2006, the Bank of financing for SMEs (BFPME) to finance innovative projects, and the Tunisian Guarantee Company (SOTUGAR) to reassure backers and guarantee the profitability of projects.
Government measures to motivate or restrict FDI: Located in the heart of the Mediterranean basin, just south of Italy, Tunisia occupies a strategic position which enables it to establish direct links with the EU countries and with countries of North Africa, the west and Middle East. Tunisia has also chosen over the last few decades to liberalize its economy more and to integrate it in the world economy. The government has set up measures to encourage FDI.
Bilateral investment conventions signed by Tunisia: Tunisia is a signatory to agreements on guaranteeing and protecting investments with several countries.

Administrative procedures relative to foreign investment

Freedom of establishment: Yes
Acquisition of holdings: Possible but you must obtain a business card from the Foreign Trade Services.
Competent organization for the declaration: Agency for the promotion of foreign investment
Requests for specific authorizations: The agency for the promotion of foreign investment in the country gives information about the authorizations necessary for setting up business.