(MENAFN- Kuwait News Agency (KUNA)) WASHINGTON, June 3 (KUNA) -- Tunisia has signed a loan guarantee agreement with the US that will allow it to access up to USD 500 million in affordable financing from international capital markets, the US Treasury Department said in a statement Friday.
The agreement was initially agreed upon after discussion between US President Barack Obama and Tunisian President Caid Essebsi in May, the statement said.
The statement noted the loan guarantee is designed to support Tunisia as it pursues important economic reforms that will provide the foundation for growth and prosperity, while also furthering its ability to access global capital markets.
It will also help Tunisia build an economic foundation that supports sustainable and inclusive economic and job growth, improves its investment climate, bolsters international confidence in its market, and supports expanding bilateral economic relations with the US, the statement said.
This will be the third loan guarantee the US will provide to Tunisia after sums of USD 485 million in 2012 and USD 500 million in 2014, which were "successful in facilitating Tunisian access to global capital markets." Since 2011, the US has provided more than USD 750 million in other types of foreign assistance to Tunisia, the statement added.
The assistance comes a day after the International Monetary Fund (IMF) approved a four year USD 2.9 billion loan for Tunisia to support its efforts to promote economic growth and job creation. (end) sd.mb