The austerity policy proposed by the International Monetary Fund (IMF) to reduce Tunisia’s public debt is not the real solution, said Regional Project Coordinator at Friedrich-Ebert-Stiftung (FES)-Tunisia Imen Cherif.

Cherif was speaking Monday at a conference on the theme “Tunisia in the Spiral of Debt and Austerity.”

Referring to a study conducted by FES, she said the IMF’s austerity programme which provides for cutting the wage bill, lifting subsidies gradually and reforming public enterprises will certainly help reduce public debt to 86% of the GDP in 2025. Yet, it will aggravate the country’s socio-economic crisis.

Meanwhile, not adopting an austerity programme will drive Tunisia’s debt ratio to 99% by 2025, the project coordinator highlighted.

” A comparison of the two scenarios shows socio-economic risks from such an austerity programme are much more important than reducing debts,” she highlighted.

Salma Jrad, Al Bawsala Executive Director, called for considering other alternatives to lighten the public debt burden. Tax justice, she said, is a way to bet on the country’s own ressources.

She was also critical of the State which, she added, is disengaging. Such a policy impacts the Tunisian people’s right to access quality education and healthcare.

Source: Tap News Agency