Manufacturing and energy help Tunisia’s FDI to rise 25%

• FDI hit TD1.3bn from January to April
• Industry and energy drew the most
• Farming also provided a boost

Foreign direct investment into Tunisia rose by nearly a quarter in the first four months of 2026, driven by manufacturing and energy projects, as the North African country seeks to attract more overseas capital.

FDI increased from around TD1 billion ($345 million) in the first four months of 2025 to TD1.3 billion in the same period this year, the official Tunisian news agency reported.

Planning minister Samir Abdelhafidh was quoted as saying the increase reflected a steady improvement in the country’s investment climate and indicated Tunisia would be able to meet its 2026 target of attracting TD4 billion.

FDI in the first four months of this year was nearly 67 percent higher than in the same period of 2024, and 48 percent higher than in 2023, the report said.

The industrial sector was the largest recipient of FDI in the first four months of 2026, at around TD919 million, followed by energy projects with about TD242 million. The two sectors accounted for 71 percent and 19 percent of total FDI, respectively.

“These results reflect improved confidence among foreign investors in the Tunisian economy. The performance also comes as part of Tunisia’s efforts to strengthen its capacity to attract productive investments and continue reforms aimed at improving the business climate,” the report said.

Tunisia reported in 2023 that it was introducing incentives to attract capital as part of reforms intended to tackle unemployment, boost exports and slash deficits.

The country is heavily reliant on tourism, foreign aid and exports for its income. It said last year it had awarded four new solar power projects to foreign companies to produce 500MW of electricity, as part of an ongoing drive to expand the share of renewables in its energy mix.

A surge in the farming sector, spurred by high olive oil exports, boosted Tunisia’s gross domestic product by 2.6 percent year on year in the first quarter of 2026.

Modest growth in other sectors also drove the expansion in Tunisia’s GDP, although there was a sharp decline in construction activity.

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