Tunisia Achieves Rare Economic Feat by Paying Off Entire External Debt Ahead of Schedule
By paying off its entire external debt before the end of the year, Tunisia has accomplished a rare performance in the global economic landscape. Without external support, driven by hard work, rigor, and restored confidence, the country has proven that with limited means but strong will, a nation can stand tall and forge its own path to sovereignty.
A Historic Achievement
As of September 30, 2025, Tunisia has repaid 125% of its planned external debt for the year, far exceeding the budgeted objectives of 8,469 million dinars (MD). This significant surplus marks a positive turning point in the country's financial management. By settling its entire external debt for 2025 three months ahead of schedule, Tunisia demonstrates consolidated savings and a tangible reduction in external debt.
Enhanced Financial Autonomy
This achievement is a testament to the concrete effects of the financial autonomy policy adopted in recent years. Without relying on international lenders, the Tunisian economy has successfully covered its external financing needs by mobilizing its own resources. Foreign exchange reserves from tourism revenue, transfers from Tunisians abroad, and exports have played a crucial role in this success.
Better Management of Public Debt
According to the 2025 state budget, Tunisia initially planned to repay 18.2 billion dinars in public debt principal, including 8.5 billion dinars in external debt and 9.7 billion dinars in domestic debt. Public debt interest amounts to approximately 6.5 billion dinars, divided between 4.6 billion dinars for domestic debt and 1.9 billion dinars for external debt. The main settled deadlines include the International Monetary Fund (1,126 MD), Afreximbank (815 MD), and Saudi Arabia (159 MD). These punctual and anticipated payments reflect rigorous budget management and improved medium-term visibility.
Improving Indicators
A report by the European Bank for Reconstruction and Development (EBRD) highlights a positive evolution in Tunisia's debt structure. The share of external debt in total public debt has decreased from 70% in 2019 to 50% in 2025, confirming the trend towards diversification and reduced external dependence. The same report forecasts that the public debt stock should reach 80.5% of GDP by the end of the year, compared to levels above 90% a few years ago, reflecting sustained efforts to restore public financial balances.
A Trajectory Praised by International Institutions
Data from the World Bank (WB), published in its report on international debt, confirms this dynamic. It shows that Tunisia now masters the service of its external debt and maintains a sustainable burden relative to its foreign exchange resources and exports. Despite the presence of a significant share of short-term debt, financial vulnerability indicators remain contained, supported by the stability of external revenue.
Economic Sovereignty in the Making
Beyond the numbers, this performance reflects a silent recomposition of the Tunisian economic model. By prioritizing local resources and real revenue from the productive economy, the country is embarking on a path towards assumed financial sovereignty, based on the valorization of its natural and human assets. The stability of transfers from Tunisians abroad, the post-crisis tourism rebound, and the success of agricultural exports – particularly olive oil – confirm that Tunisia can generate wealth without systematically relying on debt.
A Fragile Autonomy
However, it must be added that this autonomy remains fragile because it relies on sectors sensitive to climate, geopolitical, and economic hazards. This calls for strengthening economic diversification and innovation. It is crucial to valorize new promising sectors, such as clean technologies, high-value-added agro-industry, and export services.
The Need for Continued Efforts
Reinforcing research, training, and local entrepreneurship appears indispensable to transform this punctual autonomy into a durable development pillar. Finally, supporting small and medium-sized enterprises and facilitating their access to international markets will help distribute risks and further stabilize the national economy against external shocks.
Towards New International Credibility
On the international stage, this advance in debt repayment confers on Tunisia a gradually regained credibility. In a context where many emerging economies struggle to honor their commitments, this anticipatory gesture reinforces its image as a reliable and disciplined partner.
A Symbolic but also Practical Gesture
However, the stake is not only symbolic; by improving its financial signature, Tunisia gives itself the opportunity to negotiate differently tomorrow, on more equitable terms, whether with international financial institutions or private investors. In other words, the country reappropriates its margin of maneuver, not to isolate itself, but to redefine the terms of its financial cooperation in a framework of dignity and balance.
A Success to Consolidate
By repaying its external debt in full and ahead of schedule, Tunisia demonstrates its ability to regain the trust of markets and investors while preserving its economic sovereignty. This success, the result of several years of effort, rigor, and budgetary discipline, constitutes a strong signal of resilience and financial efficiency. But beyond the numbers, it is a lesson in constancy and will. Our country proves that with limited means but strong determination, it can overcome the most demanding challenges.
A Path Forward
This performance should not, however, lull us into complacency. It reminds us, on the contrary, that only work, good governance, and the sanitation of public finances truly pay off. It is by betting on these values – and not on the artifices of debt or easy solutions – that the country has managed to right the ship and preserve its credibility.
A Clear Path Ahead
This path remains demanding, but it traces a clear way, that of controlled development, carried by collective effort and transparency. Tunisia has demonstrated that it can stand up on its own, without renouncing its values or giving in to fate. This quiet strength, nourished by work and faith in the future, allows us to believe in our country, in its ability to build a stable, dignified, and prosperous future, faithful to its history and the hope of its people.
