Analysts Sound the Alarm on Bfpme's Activity with Largely Negative Financial Statements
Analysts have painted a worrying picture of the Bfpme's activity, with financial statements showing significant losses. While some predict the bank's imminent bankruptcy or even dissolution, others, more optimistic, are calling for a serious rescue plan, given the many opportunities for recovery.
The Bank of Financing for Small and Medium-Sized Enterprises (Bfpme) is on the verge of collapse. Recent statistics reveal "dry losses of 13.1 million dinars, negative equity of 53 billion dinars, and significant doubtful loans."
It's worth recalling that when the bank was launched in March 2005, expectations were high, and the aspirations for its benefits were immense. The bank was supposed to operate in a niche that is the heart of our economic fabric: financing small and medium-sized enterprises.
A New Risk Culture
The presence of this new structure quickly reversed the trend, as the Bfpme's operational model was based on fundamental principles: good evaluation and accompaniment. But most importantly, the Bfpme sought to break away from administrative routine and develop a new risk culture. This policy significantly increased the chances of project ideas being finalized.
The bank's guiding idea was to evaluate projects, refine them, bring them closer to market reality, and increase their chances of survival, ultimately providing them with appropriate financing at competitive costs. This policy proved to be highly effective, at least during the bank's early years of operation.
Between 2005 and 2008, despite limited resources, the Bfpme approved financing for 665 projects, an encouraging volume for a startup.
A Need for Restructuring
However, when we expected a significant rebound in the bank's activity, we instead witnessed a worrying slowdown. Observers estimate that the lack of a genuine governance policy, the absence of a reliable control and information system, the timidity of impact studies, and the lack of a refinancing system ultimately affected the bank's evolution margin, leaving it disarmed and unable to generate self-financing resources or develop.
It is recognized that these failures forced the bank to navigate blindly, which proved to be penalizing. The bank began to accumulate poor performances, resulting in significant losses.
In 2024, the bank's financial situation reached an alarming level, prompting the bank to reduce its social capital from 100 million dinars to just 10 million. This would have systematically led to the bank's dissolution, in accordance with the provisions of the Tunisian commercial companies code, had it not been for an urgent capital increase of around 60 million dinars.
A Call for Support
It is certain that for financial analysts, the current situation of the Bfpme is not shocking. The bank, whose essential role is accompaniment and financing, has not received the necessary support to flourish, especially since the services are generally very expensive.
At one point, it even seemed that the institution was being marginalized. In 2017, the bank remained without a "commander" for more than two months after the departure of its president and general manager, leaving the ship abandoned in turbulent waters.
In addition to the issue of support, it is recognized that the complexity of the national entrepreneurial ecosystem has not made the institution's task easier, due to a lack of coherence and visibility. This ecosystem is still searching for itself and urgently needs reliable benchmarks, as it remains the foundation of our economic fabric.
Conclusion
The delicate situation of the Bfpme should not lead to the abandonment of such an experience. On the contrary, despite limited resources, the bank has managed to achieve some notable successes. The bank has financed over 1,600 projects and generated around 31,000 jobs. This is no small feat, considering the economic context.
This is to say that the Bfpme today needs serious restructuring, significant financial injections, a requalification of its priorities, a more qualified operating body, and especially an improvement in the level of digitalization of its services.
