"The policy of devaluation of the Tunisian dinar, dictated by the International Monetary Fund (IMF), is behind the increase in expenditure on grain imports, which has contributed to the deterioration of the financial situation of the Office des Céréales," said the Tunisian Economic Observatory (OTE). "While the Tunisian dinar was devalued, the average price of wheat in dollars remained unchanged, which favoured the increase in prices in dinars," the OTE said in a note published on Friday. Given the high cost of grain, the state was unable to pay subsidies on time to the Grain Board, which in turn was unable to pay suppliers, the same source said. According to OTE, this situation has forced the office to go into debt with local banks and international financial institutions, recalling that its debt with the Banque Nationale Agricole (BNA) amounted to TND 2.8 billion in 2022, or 27% of customer loans. The devaluation of the Tunisian dinar, the result of a monetary policy based on the independence of the central bank, has had a serious impact on the food security of Tunisians. Tunisia is one of the world's biggest consumers of grain and imports 80% of its wheat needs, according to official figures.

Source: Agence Tunis Afrique Presse