The loan was approved on Wednesday 29, 2014, after the new caretaker government of non-partisan experts led by Premier Mehdi Jomaa took office. It is a second disbursement of a two-year package: $1.76 billion.
The battered economic situation in Tunisia deteriorated because of the political turmoil that tackled the country following the Arab Spring uprising and the ousted of former president and Dictator Ben Ali. In 2011, the economic growth plumbed to -2%. Its revival has been thwarted by an upheaval caused by the political assassination of the two opposition figures Chokri Belaid and Mohamed Brahmi, in 2013.
What further daunted investors and obstructed reform were the terrorist threats and attacks that led to a rather growing social unrest amid worsening security and labyrinthine economy. These attacks marked a rather dramatic fall of the two major pillars of economy in Tunisia, tourism and export.
The IMF loan will boost the dire situation in Tunisia and help the country leapfrog the sets of obstacles that have been bogging down steps towards stability.