Tunisia Mobilizes Support ahead of IMF Talks

Tunisia is mobilizing support ahead of IMF talks.
Tunisia is mobilizing support ahead of IMF talks.
TT
20

Tunisia Mobilizes Support ahead of IMF Talks

Tunisia is mobilizing support ahead of IMF talks.
Tunisia is mobilizing support ahead of IMF talks.

Tunisia is preparing to head to the International Monetary Fund (IMF) in May to persuade the Fund to support its domestic economic reforms programs.

Prime Minister Hichem Mechichi held a series of preparatory meetings ahead of the talks.

Ambassador of the United States in Tunis Donald Blome affirmed during talks with the PM on Thursday his country's support for Tunisia in its negotiations with the IMF to raise necessary financial resources.

Blome added that the US administration is fully ready to support Tunisia's development efforts and ensure the success of the democratic process, the Prime Ministry said in a statement.

The ambassador also welcomed the progress made in the development program led by the Millennium Challenge Corporation in Tunisia, which will provide about $500 million in donations to support the national economy, especially in transportation and agriculture.

Ambassador of the European Union to Tunisia, Marcus Cornaro, on Thursday, expressed the EU's full support to the efforts of the Tunisian government in its national economic reform program.

Speaking during a meeting with Mechichi in Kasbah on Thursday, Cornaro added that the EU has support and cooperation mechanisms that will be made available to the Tunisian government, according to a statement from the Prime Ministry.

He stressed that the EU will be the first to defend Tunisia with member countries through ambitious investment and employment programs.

According to the IMF, Tunisia ended 2020 with an 8.8 percent recession. Tunisia’s current budget has a deficit of TND18.5 billion ($6.7 billion) and is likely to increase, according to preliminary estimates.



Gold Edges Up with Focus on US Inflation Data

(FILES) Gold bullion can be seen after being removed from casts at the ABC Refinery smelter in Sydney on April 29, 2025. (Photo by DAVID GRAY / AFP)
(FILES) Gold bullion can be seen after being removed from casts at the ABC Refinery smelter in Sydney on April 29, 2025. (Photo by DAVID GRAY / AFP)
TT
20

Gold Edges Up with Focus on US Inflation Data

(FILES) Gold bullion can be seen after being removed from casts at the ABC Refinery smelter in Sydney on April 29, 2025. (Photo by DAVID GRAY / AFP)
(FILES) Gold bullion can be seen after being removed from casts at the ABC Refinery smelter in Sydney on April 29, 2025. (Photo by DAVID GRAY / AFP)

Gold prices nudged higher on Tuesday, after a sharp decline in the previous session, as investors looked forward to US inflation data that could offer further insight into the Federal Reserve's rate-cut trajectory.

Spot gold was up 0.3% at $3,354.91 per ounce, as of 0453 GMT. US gold futures for December delivery were steady at $3,405.40.

Gold slipped 1.6% on Monday, while futures dropped by more than 2% after US President Donald Trump said tariffs will not be placed on imported gold bars, easing jitters in the market.

"Market participants now will be definitely focusing on the upcoming Fed rate cut, which has been more or less priced in for September. If we start to see the core CPI data came in slightly below expected, that could actually further support this rate-cut expectations," OANDA senior market analyst Kelvin Wong said.

"That could lower the cost of holding gold and the long-term US 10-year treasury yield still remains below certain key resistance level, so that could actually support gold prices."

All eyes are on US consumer prices index data, which is due at 1230 GMT. Economists polled by Reuters projected that core CPI likely rose 0.3% in July, pushing the annual rate higher to 3%, away from the Fed target of 2%.

Traders are pricing in around an 85% chance of a Fed rate cut next month, as per the CME FedWatch Tool. Gold tends to perform well during periods of uncertainty and in a low-interest-rate environment.

Traders appeared to show scant reaction to a statement from a White House official that Trump signed an executive order on Monday, extending a pause in sharply higher US tariffs on Chinese imports for another 90 days.

Elsewhere, spot silver gained 0.7% to $37.88 per ounce, platinum rose 0.3% to $1,330.25 and palladium climbed 0.9% to $1,145.47.