New American programmes to support Tunisia's reform and development process

U.S. President Barack Obama decided on four new programmes aimed to support the reform and development process in Tunisia, in the political, economic and social fields, announces the White House in a communiqué following the meeting, on Friday in Washington, between the American President and interim Prime Minister Béji Caïd Essebsi. The first programme relates to the return, in 2012, of the American "Peace Corps" to Tunisia with volunteer assignment focusing on English language teaching and youth skills development. These programmes, specifies the communiqué, will help prepare Tunisian students and professionals for future employment, build local capacity and develop citizenship spirit at the grassroots level. The second programme is related the Millennium Challenge Corporation (MCC). Tunisia has been selected eligible for the MCC Threshold Programme. This partnership, indicates the same source, is a recognition of Tunisia's commitment and progress toward democracy and economic freedom. Tunisia's inclusion in the MCC Programme will support the Tunisian government to work on policy reform that can lead to faster growth and generate employment, such as addressing constraints to economic growth, increasing private sector investment, and improving economic governance. According to the third programme, the U.S. government  proposes to provide Loan Guarantees, if authorised by Congress, at a budgetary cost of ê 30 million to support a significant portion of the budgetary gap, thereby enabling Tunisia to borrow from international capital markets and bring down the cost of financing Tunisia's reform agenda. According to the fourth programme, pending its approval by the US Congress, the United States will launch a Tunisia Enterprise Fund that provides seed money to support the private sector growth. At an initial budgetary cost of ê 20 million, this Fund will leverage other investors and help Tunisians launch the small and medium enterprises that will be the engines of long term opportunity. In addition to these initiatives, the White House communiqué points out, the Obama administration is working to finalise several other new programmes to be implemented in 2012. In this connection, this month, the U.S.A. and Tunisia agreed to formally re-launch discussions under the bilateral Trade and Investment Framework Agreements (TIFA). The two sides established joint U.S.-Tunisian working teams on bilateral trade and investment and regional economic integration that will report to an initial TIFA council's  meeting, to be held in the coming few months. Moreover, the Overseas Private Investment Corporation (OPIC) has committed ê 2 billion to supporting private sector investment in the Middle East and North Africa, including in Tunisia. OPIC is working to invest in small businesses and the franchising of U.S. companies in Tunisia. Additionally OPIC is providing U.S. companies with incentives to invest in Tunisia's renewable energy sector, notably wind and solar energies. These programmes will build on the United States' commitment of more than ê55 million in non-security assistance in support of the Tunisian transition since January 2011. In this connection, in support of the Tunisian people's aspirations for democracy, prosperity and long-term political stability, the United States is providing approximately ê 43.3 million to support rule of law, strengthen political participatory and inclusive processes, build the capacity of civil society, and promote freedom of expression. Besides, through direct support to local organisations, the U.S. is supporting a Tunisian-led consultative process on transitional justice mechanisms to redress human rights violations under the former regime. The non-security assistance will provide, according to the same source, on the private sector development. The United States is providing ê 3.8 million to support market relevant skills, entrepreneurship, job placement, and access to start-up business resources in Tunisia. Besides, the White House communiqué reminds,  the U.S.  responded immediately to assist individuals seeking refuge in Tunisia, as a result of the crisis in Libya, by contributing over ê 3 million to the Tunisian Red Crescent, the World Food Programme and the World Health Organisation to support health services, food aid and distribution of relief commodities.  Additionally, a significant portion of the American region-wide fund of ê 46.5 million funding to UNHCR and IOM was used in Tunisia to meet basic humanitarian needs and repatriate stranded third-country nationals. On the other hand, an American contribution of over ê 5 million increased the Fulbright programme in Tunisia, deployed English language specialists, established media training for over 50 Tunisian journalists and established partnership with a range of Tunisian universities.