Tunis: According to the media reports, the Tunisian government has increased the price of sugar per kilogram intended for family consumption by 22 per cent on Tuesday. The step has been taken to reduce the fiscal deficit as part of a reform plan that includes a gradual cut in subsidies.
As per news agency Reuters, the economy of Tunisia has shrunk by 8.8 per cent last year with a record fiscal deficit of 11.5 per cent. The country has initiated talks with the International Monetary Fund (IMF) to get the financial assistance package.
As per the government reform proposed to the IMF, the country will cut its public sector wage bill and replace subsidies with direct support for the needy.