Tunisia - Country economic memorandum : the road to an outward oriented economy (Vol. 3 of 5) : Annex 2

Report No. 8044-TUN Republic of Tunisia Country Economic Memorandum: The Road to an Outward-Oriented Economy (In Five Volumes) Volume Ill: Annex 2 The Tunisian Financial System in Support of Investment March 1990 Country Operations Division Country Department 11 Europe, Middle East and North Africa Region FOR OFFICIAL USE ONLY Document of the World Bank This document has a restricted distribution and may be used by recipients only in' the performance of their official duties Its contents may not otherwise be disclosed without World Bank authorization.  FOR OMCIAL USE ONLY REPUBLIC OF TUNISIA ANE 2 THE TUNISIAN FINANCIAL SYSTEM IN SUPPORT OF INVESTMENT This document has a restacrted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  GLOSSARY OF ABBREVATIONS APB Association Professionnelle des Banques (Professional Associatior of Banks) BCT Banque Centrale de Tunisie (Central Bank of Tunisia) Billets de tresorerie Commercial paper Bons d'Equipement Treasury Bonds (Government bonds) Bons du Trdsor Treasury bills CENT Caisse d'Epargne Nationale Tunisienne (National Savings Bank) CNEL Caisse Nationale d'Epargne-Logement (Housing savings fund) FOPRODI Fonds de promotion et de decentralisation industrielle (Industrial development fund) FOSDA Fonds sp4cial de developpement agricole (Agricultural development fund) IPbC ImtwL suL !es revenus des creances (Tax on income from credit) IRVM Impot sur les revenus des valeurs mobili6res (Tax on income from marketable financial instruments)  REPUBLIC OF TUNISIA THE TUNISIAN FINANCIAL SYSTEM IN SUPPORT OF INVESTMENT TABLE OF CONTENTS Page I. INTRODUCTION . . . . . . . . . . . . . . . II. THE STRUCTURE OF THE FINANCIAL SYSTEM . 2 . . . . . . . . . 2 The system in the first half of the 1980s . . . . . . 3 Recent Reforms . . . . . . . . . . . . . . . . . . . 6 The functioning ot the money market . . . . . . . . . 14 III. FINANCE AND THE MOBILIZATION OF SAVING . . . . . . . . . . 16 Saving vs savings: what finance can do . . . . . . . 16 Competition for savings . . . . . . . . . . . . . . . 17