The nomination of a new governor for the Tunisian Central Bank came after months of disagreements between the bank and the authorities regarding interest rate policies and treasury financing (Reuters)
The Tunisian presidency appointed Fathi Zuhair Al-Nouri as the new governor of the Central Bank, succeeding his predecessor, Marwan Al-Abbasi.
The presidency said in a brief statement: “President Kais Saied supervised today, Thursday, the swearing-in ceremony of Fathi Zuhair Al-Nouri as Governor of the Central Bank of Tunisia.”
The statement did not mention the reasons for relieving former governor Marouane El Abbasi, who was appointed governor by former President Beji Caid Essebsi in February 2018, succeeding Chadli Ayari.
The naming of a new governor comes after months of disagreements between the bank and the authorities regarding interest rate policies, direct financing of the treasury by the bank, and controversy over the bank’s independence.
According to a biography published by the Central Bank of Tunisia on Thursday, Al-Nouri, born in 1955, held the position of university professor in economic sciences at the Tunisian University, and participated in several plans related to his specialty.
On February 7, the Tunisian Parliament ratified a law allowing the Central Bank to provide loans and financial facilities to the government.
The Minister of Finance, Siham Boughdiri Namsia, said during a session of Parliament that “the license for the Central Bank of Tunisia to grant facilities (loans) for the benefit of the public treasury is due to the inability to borrow externally.”
According to the government request approved by Parliament, the value of the financing amounts to 7 billion dinars ($2.25 billion).
Tunisia is facing financial and economic difficulties and a rise in the public finance deficit, amid efforts made by the government with the International Monetary Fund for nearly two years, to enter into an economic reform program, accompanied by a financial loan.
During 2023, Tunisia faced economic difficulties represented by the scarcity of foodstuffs, as a result of difficult climatic factors, the repercussions of the Russian war on Ukraine, and financial difficulties that prevented the supply of grains from abroad, in addition to the weakness of agricultural crops as a result of drought.
Source: Reuters + Anadolu Agency