Interest-free loans: Conditions for accessing Tunisia's new banking facility revealed

Tunisia is rolling out interest-free loans requiring no collateral, a new banking mechanism designed to provide advantageous financing for specific individuals and businesses. This initiative, detailed in a government decree published in the Official Gazette, implements provisions from the law on checks. The loans have a repayment period not exceeding two years.

According to Sofiane Ouerimi, an accountant and banking finance specialist, the decree identifies several beneficiary categories. These include individuals seeking personal or consumer loans, owners of small projects with investment volumes up to 150,000 dinars, small and medium-sized enterprises (SMEs) with investments between 150,000 and 15 million dinars, and community enterprises. Loan limits are set at 5,000 dinars for individuals, 10,000 dinars for small projects, and 25,000 dinars for SMEs and community enterprises.

Banks are mandated to allocate 8% of their annual profits to a special account for funding these credits. However, the decree stipulates that this mechanism will apply to profits earned from 2025 onwards, excluding 2024 earnings. Ouerimi expressed concern that the available funds might be insufficient to meet the anticipated demand, especially given current challenges in accessing finance for many businesses. He noted that 8% of the banking sector's estimated 2024 profits of 1.5 billion dinars would amount to approximately 120 million dinars.

Applicants must submit a file to their bank, which has a maximum of ten days to respond. Refusals must be justified, and the decree emphasizes the principles of equality among applicants and the order of file submission. The decree aims to facilitate access to credit, but its practical impact will depend on the adequacy of funding and the efficiency of the application process.