Tunisia is set to receive a loan of €80mn loan from the African Development Bank to upgrade roads. The funds will used for the third phase of its Road
Tunisia is set to receive a loan of €80mn loan from the African Development Bank to upgrade roads. The funds will used for the third phase of its Road Infrastructure Modernisation Programme. This initiative, with a total cost of €86.21 million, is 92.98% financed by the AfDB loan, with the Tunisian government contributing €6.05 million.
Running from 2025 to 2030, the project aims to upgrade 188.9 km of roads in seven key governorates: Kef, Kasserine, Sousse, Sfax, Kairouan, Siliana, and Gafsa. These areas hold untapped economic potential hindered by poor transport infrastructure.
Economic boost
Enhanced roads will create an efficient transport system, stimulating economic activities by facilitating the movement of goods and people between regions. The transport sector already accounts for 5% of Tunisia’s GDP and provides 160,000 jobs. This project will further generate employment opportunities, including for micro-enterprises in road maintenance.
Upgraded roads will improve access to regions with high agricultural value, strengthening food security through the development of value chains. Border regions between Tunisia and Algeria will benefit from improved connectivity, reducing infrastructure disparities in disadvantaged areas.
Investments will further support long-term maintenance and foster entrepreneurship in infrastructure upkeep. Over the past decade, the AfDB has significantly contributed to Tunisia’s infrastructure by modernizing 4,000 km of roads and 104 km of motorways. These efforts have enhanced service levels, improved access to socio-economic opportunities, and supported private-sector initiatives. This third phase marks a continuation of earlier successes, reinforcing Tunisia’s commitment to regional development and sustainable transport systems.