Africa Singapore Business Forum, 28 - 29 August Country Panel Presentation - Tunisia www.enterprisesg.gov.sg/asbf

1. Mr Khalil Laabidi
President of Tunisia
Investment Authority

2. Country Presentation
Tunisia, New Development Model, Investment led sustainable Growth

3. Country Presentation

4. 1. GENERAL BACKGROUND
2. NEW INVESTMENT FRAMEWORK
3. INVESTMENT OPPORTUNITIES

5. Speed up the implementation of good governance
 diversified economy
with high
employment content
 Improve business
climate
 Improve export
capacities & further
integration into the
world economy
 Promote digital
economy as a vector
of development
From a low-cost
economy to an economic
hub
Human development
& social inclusion
Fulfilling the
ambitions of the regions
Green economy a
driver of sustainable
development
 Improve the
living conditions
 Enhance the
efficiency of
social policies
 Boost
complementarity
components of
the education
system
 reinforce the
citizenship spirit
among youth
 Strengthen the
capacities of the
regions and
enhancing their
attractiveness
 Improve living
conditions
 Reduce disparities and
interconnecting the
regions
 Implement the
principle of positive
discrimination
 Fair land
management
respectful of
ecological balances
 Optimize natural
resources
management
 Use clean
production
1
2 3 4 5
1. GENERAL BACKGROUND : TOWARDS A NEW DEVELOPMENT MODEL
2016-2020 economic Development plan Pillars

6. (% At constant prices)
GDP growth
Investment Growth
2016-2020
4.0
9.0
2020
24%
64%
40%
Other Ratios and economic indicators
Investment rate of of GDP
Share of private investment in total investment
Export effort ( % of GDP)
1. GENERAL BACKGROUND :
MACROECONOMIC OVERVIEW / ENHANCING ECONOMIC INDICATORS

7. Investment
Law
Fiscal
Incentives
Law
Banking
Law
Completed Underway
1. GENERAL BACKGROUND :
SPEED UP BUSINESS ORIENTED REFORMS
PPP
Law
Start up
Act
Exchange
System
Customs
Code
Venture
Capital
code
Logistics
Framework
Law
Competetion
Law

8. 1. GENERAL BACKGROUND
2. NEW INVESTMENT FRAMEWORK
3. INVESTMENT OPPORTUNITIES

9. PROVISIONS OF THE INVESTMENT LAW
MARKET ACCESS : Towards more Investment Freedom
- Governmental decree : a negative list of administrative and sector
investment related authorisations May 2018
- Reducing the number of authorizations and specifications within
2 years
- Setting the deadlines of authorisations
- Requirement to justify the refusal
- After the expiry of the deadlines, the authorisation is considered
as granted
- Authorisations to be granted by Tunisia Investment Authority if
the administrative authority fails to reply within the deadlines

10. PROVISIONS OF THE INVESTMENT LAW
MARKET ACCESS : Freedom Ownership, attratcting foreign talents
 Liberty of properties as part of investment projects expect for
agricultural lands
 Liberty to hire foreign managerial staff till 30 % of the managerial staff
total number til the end of the third year. This proportion is reduced to 10
% in the fourth year as from this date.

11. • Ensuring equal treatment to foreign and Tunisian investors in terms of
rights and obligations
• Protecting investors from non-commercial risks
• Ensuring the respect for industrial and intellectual property
PROVISIONS OF THE INVESTMENT LAW
INVESTOR'S GUARANTEES & DISPUTE SETTLEMENT : CONFORMING TO RECENT INTERNATIONAL
STANDARDS
1- Amicable Settlement of Disputes
2. Judicial settlement of disputes
Between the Tunisian State and the foreign investor - -
Dispute settlement shall be subject to arbitration

12. Investment Grants
Regional Development
Infrastructure expenditure under
regional development
Economic Regimes
Priority Sectors
Economic
performance
grants
Employment Grant
ORIENTED FINANCIAL & FISCAL INCENTIVES : ADRESS DEVELOPMENT PLAN OBJECTIVES
Material investments to
master modern technologies
and improve productivity
Immaterial Investments
Research & Development Employee Certification Training cost
Subsidy Social
employers'contribution
Wage Subsidy
Sustainable Development Grant
Total Tax exemption of Benefits
or Reduced Income Tax
Regional Development areas
5 or 10 years
Export
10%

13. 1. GENERAL BACKGROUND
2. NEW INVESTMENT FRAMEWORK
3. INVESTMENT OPPORTUNITIES

14. 138
162
TUNISIA, A Performing Infrastructure…
9 international airports 7 commercial ports
100 industrial zones
15 cyberparks10 competitiveness clusters
The road network is made up of
20,000 km of paved roads and
360km of highways across the
country

15. 162
2nd producer of AUTOMOTIVE
COMPONENTS In Africa
A
1st Exporting Sector
7th supplier of European Union
in ELECTRICAL MACHINERY
MECHANICAL, ELECTRICAL &
ELECTRONICS
TEXTILES AND CLOTHING
5th supplier of Europe2nd supplier of France2nd Exporting Sector

16. 138
162
AEROSPACE
X 6
65 companies employing
more than 7,500 people
 aeropole at El-Mghira which is
an integrated industrial platform,
extends over an area of over 200
hectares of which 20 hectares
are dedicated to AEROLIA
Aerospace Park, a subsidiary of
EADS / Airbus
- Engineering
- Services: engine repair,…
- Production: electrical and wiring
systems, composite materials, casting and
machining,…
Performing Supply Chain
2004 2005 2006 2007 2008 2009 2010
11
31
24
35
45
46
53
2013
65
Investment opportunities
 Electrical assembly
 Cable harnesses
 Thin sheet metal
 Airplane assembly
 Plastics
 Surface treatment
 Software

17. OFFSHORING : ITO, BPO, R&D
Many Leading International
Corporations are already in
Tunisia…
 Very favorable implantation conditions
 The annual rent per square meter of a class A
office in Tunisia is around US dollars 110
 The Tunisian telecommunication network is
actually among the most modern in the
mediterranean basin, with high speed
multifunction switches
A world Class Infrastructure
A priority sector for tomorrow’s Tunisia
Operational costs among the most
competitive in the Euromed Area

18. AGRIFOOD INDUSTRY
2nd world producer
of OLIVE OIL
a
1st World exporter
of DATTES
aa
2nd African country
exporting organic products

19. Thanks For
Your Attention