Tunisia's 2026 Budget: A Focus on Social Dimension
The social dimension of Tunisia's 2026 budget was a dominant theme in the presentation by Finance Minister Michket Slama Khaldi to the Joint Budget and Finance Committee, comprising members of the People's Representatives Assembly and the National Council of Regions and Districts.
Budget Overview
The discussion was part of the budget debates that began last Monday in committees and are expected to continue throughout November, culminating in a marathon session that will end on December 10.
Minister Khaldi emphasized that the 2026 budget is part of a broader national vision that prioritizes social justice, a fair tax system, and national independence. She forecast a 3.3% growth rate for the Tunisian economy in 2026, with a stable dinar exchange rate and lower commodity prices, including oil, which is expected to average $63.3 per barrel.
The budget's revenue is projected to reach 52.560 billion dinars, with 90.9% coming from tax revenue, 8.4% from non-tax revenue, and 0.7% from debt and participation.
Expenditures and Deficit
Expenditures are expected to reach 63.575 billion dinars, with 39.7% allocated to salaries, 15.4% to subsidies, and 18.8% to development. This will result in a budget deficit of 11.365 billion dinars, representing 6% of GDP, compared to 5.6% in 2025 and 6.4% in 2024.
Notably, 63.4% of expenditures are social in nature, according to Minister Khaldi.
Social Measures
The minister announced several social measures, including:
- The opening of 22,523 recruitment positions in the public sector in 2026
- The integration and regularization of 13,837 substitute teachers
- The implementation of the first phase of a recruitment program for PhD holders, with 1,350 positions available
- Salary increases for public sector employees in 2026, 2027, and 2028
- An allocation of 1 billion dinars for emergency expenses
Support for Low-Income Families and Communities
The budget also includes measures to support low-income families and communities, such as:
- A financing line of 35 million dinars for community enterprises, in addition to a solidarity premium of 2 million dinars
- An envelope of 4.663 billion dinars for social solidarity and the guarantee of fundamental rights and dignified living for all
- An increase in minimum pensions to 280 dinars per month, with an estimated total cost of 260 million dinars
Subsidies and Development Expenditures
The budget allocates 9.772 billion dinars for subsidies, including 4.993 billion dinars for hydrocarbons, 4.079 billion dinars for basic products, and 700 million dinars for public transportation.
Development expenditures are expected to reach 11.934 billion dinars, representing a 12.4% increase compared to 2025.
Parliamentary Debate
During the parliamentary debate, several deputies pointed out paradoxes in the budget, including:
- The low allocation for development projects, despite the government's emphasis on job creation
- The intention to resort to borrowing, including external debt, while promoting the principle of self-reliance
- The optimization of public expenditures, while "wasting" public money on poorly managed or bankrupt public enterprises
Deputies also criticized the government's intention to increase taxes, with a tax pressure of 25% considered too high. Some deputies accused the government of wanting to impoverish the people through high tax contributions (90%) to finance the budget.
Minister's Response
In response to these criticisms, Minister Khaldi appreciated the quality of the interventions and acknowledged that many of the problems raised cannot be resolved within a 12-month program. She recognized the existence of structural problems affecting several regions and the need for more work and resources.
The minister emphasized the government's social orientation, which is a subject of consensus, but acknowledged that it is not an easy choice. She recognized the insufficiencies and the need for reforms, solidarity, and cooperation to address the challenges facing the country.
Regarding public enterprises, Minister Khaldi recalled that many of them had hired job seekers at the government's request, at the expense of their financial balance. She emphasized the need to encourage successful enterprises, help those in difficulty, and evaluate them in case of failure.
In conclusion, Minister Khaldi called for collective progress, stating that "we should move forward together!"
