Tunisia’s Gradual Reduction of Cash Use Becomes a Sensitive Pillar of Financial Reform
Presented by public authorities as a lever to combat the informal economy and broaden the tax base, this policy direction nevertheless raises growing concerns among economic operators.
Balancing the imperative of transparency with the fear of an additional constraint on activity, the debate remains open.
Anis Ben Said, certified tax adviser, judicial expert, and university professor, stresses that the whole issue lies in the proper sequencing of reforms and the restoration of trust.
The Policy Context
La Presse – The progressive restriction of cash usage in Tunisia is officially part of a strategy to formalise the economy and expand the tax base. Anis Ben Said explained that, in theory, the logic is sound: fewer cash transactions mean greater traceability of financial flows and, potentially, fairer taxation among taxpayers. According to him, this aligns with an international trend toward modernising payment systems and strengthening economic transparency.
Is It an Additional Constraint?
The expert qualified this view by pointing out that the main risk lies in how economic actors perceive the measure. When it is introduced alongside high banking fees and a persistent distrust of the financial system, it may be seen not as a welcomed modernisation but as an extra burden on transaction freedom and daily cash‑flow management.
He also warned that a poorly sequenced restriction could be counter‑productive, pushing part of the activity into more opaque informal circuits rather than eliminating it.
Lessons from International Experience
Drawing on several international cases, the specialist noted that cash‑limiting policies produce tangible but usually partial results. Their effectiveness depends heavily on how they are combined with other structural reforms, such as:
- Effective digitalisation of payments
- Simplification of the tax system
- Smart control mechanisms based on data analytics
Without this complementary ecosystem, the measure is likely to have only a marginal impact on the most entrenched fraud.
Targeted Regulatory Adjustments
In the Tunisian context, Anis Ben Said emphasised the need for targeted, pragmatic regulatory tweaks:
- Adjust payment ceilings to reflect sectoral and regional realities.
- Lower electronic‑payment costs for SMEs and merchants.
- Simplify tax compliance for small businesses.
- Strengthen financial inclusion, especially in interior regions.
Absent these prerequisites, the reform could mainly increase pressure on the already formal sector while leaving the core of the informal economy untouched.
Final Thoughts
The university professor concluded that limiting cash can be a relevant lever for modernisation and transparency, but it will only deliver lasting effects if it is embedded in a gradual, balanced, and credible approach.
Key takeaway: Trust among the state, the financial system, and economic operators is essential to turn a perceived constraint into a genuine engine of formalisation.
