Water, Social Inclusion, and Employment: Tunisia and AFD Sign Three Financing Conventions
The Tunisian authorities and the French Development Agency (AFD) signed three financing conventions yesterday, covering key areas such as access to water, employment, and social inclusion. The total amount of these financing conventions is €54.5 million.
These conventions were signed on the sidelines of a visit to Tunisia by Philippe Orliange, Executive Director of AFD's Geographies. During a meeting with the local press after the signing ceremony, Orliange emphasized the importance of the sectors concerned, particularly as priority areas for Tunisia.
"These financings only make sense if they are effectively implemented, as it is the results on the ground that reflect our common ambition: to meet essential needs, prepare for the future, and build sustainable development," he said, reaffirming AFD's commitment to being a trusted partner, listening to Tunisia's needs and those of its population, for sustainable and shared development.
These new partnerships are part of AFD's continued support for Tunisia's priorities and focus on the economic empowerment of vulnerable populations, securing access to drinking water, and strengthening professional training for young Tunisians, according to an AFD statement.
The official signing ceremony took place at the Ministry of Economy and Planning, in the presence of Samir Abdelhafidh, Minister of Economy and Planning, Abdelhamid Mnajja, CEO of Sonede, and Her Excellency Anne Guéguen, French Ambassador to Tunisia.
To improve the supply of drinking water to Tunisia's main urban centers, AFD signed complementary financing conventions with Sonede for two major water infrastructure projects. These projects involve additional financing of €12 million and €30 million to strengthen the water supply system in the Cap Bon - Sahel - Sfax region and secure the Greater Tunis area, respectively.
Furthermore, an additional grant of €0.5 million has been allocated to finalize the master plan for drinking water in the Greater Tunis area. Co-financed with the European Investment Bank (EIB), the Greater Tunis project now brings AFD's total commitment to €68 million.
In practical terms, these financings will be used to build new water treatment plants (in Kalaâ Kébira and Béjaoua) and reservoirs, as well as lay additional pipes, to increase the network's capacity and reliability. As a result, nearly 6 million Tunisians (approximately half of the country's population) will directly benefit from these investments, which address major strategic challenges: valuing water surpluses in the north, supporting growing demand in urban areas, and preserving groundwater in inland regions.
AFD has also provided €5 million in budgetary support to Tunisia to promote the economic inclusion of the most vulnerable households. This financing will fund the Economic Empowerment Program for poor and low-income categories and people with disabilities, led by the Tunisian Ministry of Social Affairs. The program, created in 2022, supports entrepreneurship projects carried out by vulnerable individuals through subsidies and personalized support for creating income-generating activities.
The third financing agreement aims to strengthen the vocational training sector in Tunisia and promote professional mobility for young Tunisians. This new project, worth €7 million (co-financed by AFD for €5 million and the French Ministry of Europe and Foreign Affairs for €2 million), directly addresses the challenge of youth unemployment, which affects 37.7% of 15-24 year olds in Tunisia.
The project is part of the Franco-Tunisian cooperation on migration and skills development, according to the statement. In practical terms, the project will finance the modernization of two pilot training centers - the Sousse Tooling Sectoral Center and the Grombalia General Mechanics Sectoral Center - to make them centers of excellence.
