Tunisian Parliament Adopts Measures to Support Citizens' Purchasing Power
The Assembly of People's Representatives has adopted two major measures to support the purchasing power of Tunisian citizens, focusing on increasing salaries in the public and private sectors and progressive tax relief for retirement pensions.
During a plenary session held on Saturday, November 39, 2025, with the participation of Finance Minister Michket Slama Khaldi, the Assembly approved Article 15 of the 2026 Finance Bill, which provides for a revaluation of salaries and pensions for the years 2026, 2027, and 2028. The minister did not specify the exact rate of the increase, which will be set in early 2026 by government decree. This measure comes in a context of inflation of around 5%. Article 15 was adopted with 80 votes in favor, 12 abstentions, and 19 against.
In parallel, Article 56 of the 2026 Finance Law was approved to gradually alleviate the tax burden on retirees. This measure, adopted with 117 votes in favor, will allow retirees to gradually recover part of their income tax over three years starting from 2027, resulting in a potential increase in their pensions of up to 25% by 2029. Currently, a 25% deduction is applied to the gross amount of pensions. This will increase to 30% from January 1, 2027, to 40% from January 1, 2028, and to 50% from January 1, 2029. The Finance Minister further specified that retirees with an annual income of less than 5,000 dinars will benefit from a total exemption from income tax.
These measures aim to support the purchasing power of Tunisians in an economic context marked by moderate inflation, while ensuring a gradual and planned progression of pensions and salaries in the country.