Arab Today, arab today country drops three places in investorprotection rankings
Last Updated : GMT 09:34:52
Arab Today, arab today
Arab Today, arab today

Tunisia former finance minister warns against collapse of the dinar

Country drops three places in investor-protection rankings

Arab Today, arab today

Arab Today, arab today Country drops three places in investor-protection rankings

Tunisian Constituent Assembly
Tunis - Azhar al-Jarboui

Tunisian Constituent Assembly Economic magazine Doing Business’ 2013 ranking of countries in terms of investors’ protection put Tunisia three places below its 2012 position, moving it from 46th to 49th. The report came out as former finance minister Hussein al-Dimassy warned against the collapse of the Tunisian dinar which he said may happen due to the forecast severe budget deficit caused by extreme salary hikes in the public sector.
Former President of Tunisian Financial Market Council Farid al-Qibbi blamed the ranking failure on the long absence of any real and effective reforms aimed at advancing and developing the Tunisian finance market.
The Doing Business ranking is made using several criteria pertinent to the organisation of local project. Among these criteria is the measure of a country’s ability to complete projects. Tunisia came 66th in this ranking, losing 10 places. The country also slipped five places in the ranking of state copyright policies, coming in at 70.
Hussein al-Dimassy predicted huge deficit in the 2013 budget due to the rise in public-service salaries, which he said would further complicate Tunisia’s economic and financial situation. He also warned of the possibility of the collapse of the Tunisian dina. Al-Dimassy expressed concern that the current social climate in his country “could only lead to a disordered economy.” Also referring to the “serious economic crisis” that many countries face now, he said Tunisia will not be an exception.
In other news, the Tunisian Central Bank has decided to maintain the interest rate, leaving it at 3.75 per cent. The bank board described this decision as “difficult,” and justified it as a response to the continued pressure on the country’s budget. These pressures, according to the bank board, are caused by the continued increase of deficit of current payments coupled with the decrease of hard-currency assets. This in addition to the worsening inflation which rose from 5.6 per cent in August to 5.7 per cent in September.
The Central Bank had raised the interest rate by 25 basis points to 3.75 per cent on August 25. The Governor of the Central Bank had also promised last month to raise the interest rate by 25–50 bp to combat inflation.
These fears come at a time when the government is preparing next year’s highly controversial budget, which raises the tax ceiling. Import duties on cars are expected to rise by as much as 25 per cent while travel exit tax is expected to go from 60 dinars to 100, the equivalent of around 65 per cent.
The finance law for 2013 is almost set to impose registration duties on contracts and agreements while removing stamp duties. The law will also create a subsidy tax to be levied on income-tax payers at a percentage of 1–3 per cent. A new tax of one dollar per night will also be imposed on guests staying at Tunisian hotels.
The 2012 finance law had also created new taxes that included on sports betting and mobile phone top-up cards with the aim of increasing the state’s income from tax.
The state budget for 2013 is expected to be around 26.342 billion dinars, in comparison with this year’s 25.401 billion, with an increase of 3.1 per cent.
Deputy Finance Minister Selim Bisbas had announced the government’s intention to achieve a 4.5 per cent growth rate in 2013 in comparison with the 3.5 per cent rate sought this year. He also said that the government intends to reduce deficit from 6.6 per cent in 2012 to 5.9 per cent in 2013.
The provisional government has also proposed a rise of alcohol duties in the 2013 finance law bill, with the Prime Minister saying that this hike will put $100 million dollars in the government’s coffers. The bill also proposes a 1 per cent sales tax increase for nightclubs, cafés, restaurants and refreshments shops.
A Finance Ministry official has revealed that the new bill begins subsidy reform in Tunisia through setting new procedures and provisions for those with higher incomes who take advantage of state subsidies alongside the poor and needy. These measures, he says, aim at better subsidy control and ensuring that it benefits those who need it.
The text of the bill shows that state revenues from new taxes will come up to 315 million dinars split into 125 million set to be dedicated to providing additional resources to cover the deficit for the benefit of the General Compensation Fund. The financial reflection of the tax provisions, however, will be around 191 million dinars, the equivalent of $120 million.
Among the measures proposed in next year’s bill, is alteration to the rent tax system, as well as hikes in child support duties, real estate sales tax, company registration tax among others.
For his part, Prime Minister Hamadi Jebali promised to intensify efforts to support public debt funding through conforming to international standards while also reviving the secondary money market for treasury bonds. These measures, he said, should activate effective mechanisms for assessing portfolios in line with market prices. A great deal of effort is being expended in the area, he said, as a number of institutions try to fulfill their financial needs, particularly in the competitive sectors.
The Prime Minister, speaking at the inauguration of the first stock exchange and financial services show INVESTIA 2012, stressed the importance of creating a suitable climate for investment given the economic and social transformations that Tunisian institutions are undergoing. Only through these measures, he said, is it possible to create wealth and absorb unemployment. “It is on the basis of these assumptions that we will intensify efforts to improve the climate for business.” He called on financial market professionals to exert more effort in spreading awareness of the Tunisian market, advising institutions and use their innovation and creativity to help Tunisia develop its activities.
The Tunisian Constituent Assembly (parliament) is expected to discuss the budget at the beginning of December.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today country drops three places in investorprotection rankings Arab Today, arab today country drops three places in investorprotection rankings

 



Arab Today, arab today
Arab Today, arab today Nasima Gamei revives Algerian heritage in jewelries

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives Algerian heritage in jewelries
Arab Today, arab today Saudis await visitors but will they come?

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today Mental conflict endures

GMT 07:36 2017 Friday ,24 February

Mental conflict endures
Arab Today, arab today Media host Mona Iraqi stresses her show's success

GMT 15:32 2017 Wednesday ,22 February

Media host Mona Iraqi stresses her show's success

GMT 11:14 2017 Wednesday ,22 February

Lloyds Banking Group posts surging profits

GMT 10:01 2017 Tuesday ,21 February

Egypt pound rebounds from flotation slide

GMT 09:57 2017 Tuesday ,21 February

Greece agrees to bailout reforms compromise

GMT 09:55 2017 Monday ,20 February

Thailand 2016 growth up but below junta target

GMT 09:29 2017 Monday ,20 February

Kraft Heinz withdraws bid for Unilever

GMT 09:22 2017 Monday ,20 February

China's huge debt poses big headache for central bank

GMT 18:23 2017 Sunday ,19 February

Darwesh vows to provide job opportunities for youth
View News in Arabic - Business: أخبار الأعمال
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today To hold social dialogue over secondary school

GMT 07:43 2017 Wednesday ,22 February

To hold social dialogue over secondary school
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Wafaa Amer is happy for Sherihan’s return

GMT 07:36 2017 Wednesday ,22 February

Wafaa Amer is happy for Sherihan’s return
Arab Today, arab today Milan laughs while Rome cries

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 05:19 2017 Tuesday ,21 February

Salma Rashid happy for 'A Whisper of Love'

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 07:51 2017 Wednesday ,22 February

Mom's immune system accepts babies

GMT 17:46 2017 Saturday ,18 February

Tourist guide reveals methods of tourist attractions

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:22 2017 Monday ,20 February

Kanye West puts hijab-wearing model
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday