Tunisia

Phone Code: 00216

Root-level Domain Code: .tn

CIA Info

Background: Rivalry between French and Italian interests in Tunisia culminated in a French invasion in 1881 and the creation of a protectorate. Agitation for independence in the decades following World War I was finally successful in getting the French to recognize Tunisia as an independent state in 1956. The country's first president, Habib BOURGUIBA, established a strict one-party state. He dominated the country for 31 years, repressing Islamic fundamentalism and establishing rights for women unmatched by any other Arab nation. Tunisia has long taken a moderate, non-aligned stance in its foreign relations. Domestically, it has sought to defuse rising pressure for a more open political society.

Economy Overview: Tunisia has a diverse economy, with important agricultural, mining, energy, tourism, and manufacturing sectors. Governmental control of economic affairs while still heavy has gradually lessened over the past decade with increasing privatization, simplification of the tax structure, and a prudent approach to debt. Progressive social policies also have helped raise living conditions in Tunisia relative to the region. Real growth slowed to a 15-year low of 1.9% in 2002 because of agricultural drought and lackluster tourism. Increased rain helped to push GDP growth to an average rate of 5% in 2003-06. However, a recession in agriculture, weak expansion in the tourism and textile sectors, and increasing import costs due to rising world energy prices cut growth to 4% in 2006. Tunisia is gradually removing barriers to trade with the EU. Broader privatization, further liberalization of the investment code to increase foreign investment, improvements in government efficiency, and reduction of the trade deficit are among the challenges ahead.

Geography Note: strategic location in central Mediterranean; Malta and Tunisia are discussing the commercial exploitation of the continental shelf between their countries, particularly for oil exploration

Location: Northern Africa, bordering the Mediterranean Sea, between Algeria and Libya

Natural Resources: petroleum, phosphates, iron ore, lead, zinc, salt

Geographic Coordinates: 34 00 N, 9 00 E

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