Tunisia: Strategic corridor - EIB World invests €210 million with EU support for the strategic modernisation of the Sfax-Kasserine road corridor

• The European Investment Bank (EIB) marks a turning point in infrastructure development in Tunisia with a €210 million loan, supported by the European Union.
• This flagship funding is part of Tunisia's National Transport Plan 2040, which aims to improve regional connectivity and boost the economy of disadvantaged areas.
• The financial partners will provide rigorous technical supervision and support for the implementation of the project, promoting regional integration and socioeconomic growth.

At the Tunisia Investment Forum held in Tunis on 12 and 13 June, Minister of Economy and Planning, Féryel Ouerghi Sebaï, and EIB Vice-President responsible for financing in Tunisia Ioannis Tsakiris signed a financing agreement of €210 million (around TND 707 million) for modernisation of the section of the RN13 between Sfax and Kasserine. 

This funding shows the EIB’s strong commitment to Tunisia's National Transport Plan 2040, which aims to improve regional connectivity and stimulate economic development in disadvantaged areas. Extending 180 km to the Algerian border, this project launched by the Tunisian Ministry of Infrastructure and Housing will transform the existing road by doubling from single to dual carriageway and installing safety barriers to separate opposing lanes.

Strategic corridor: this project promises enhanced social inclusion, increased accessibility and improved mobility for local populations, including the most vulnerable communities. With gains in comfort, availability and speed of services, the benefits also include time savings, lower operating costs and a noticeable reduction in road traffic accidents.

Major socioeconomic impact: the modernisation of this corridor will act as a catalyst for considerable socioeconomic growth, reducing regional inequality and bolstering regional integration. It will open new trade routes with Algeria and Libya, thus promoting economic dynamism and investment in disadvantaged regions.

Commitment and European vision: backed by an EU guarantee, the project is fully in line with the European Union's strategic priorities under the New Agenda for the Mediterranean and under Axis 2 of the Team Europe Investment Initiative in Tunisia on improving Tunisia's economic infrastructure. Aligned with the Paris Agreements, the project meets the EIB's sustainable transport standards and complies with the Bank's environmental sustainability and resilience criteria.

This project, carried out in close cooperation with the World Bank, which provides parallel financing and rigorous technical supervision, is in line with the United Nations Sustainable Development Goals.

With this ambitious project, the EIB and its partners are not just modernising a road, but paving the way for a more connected, inclusive and prosperous future for Tunisia.

After signing the agreement, EIB Vice-President Ioannis Tsakiris said: “This transformative project represents a major step forward for transport infrastructure in Tunisia. By improving regional connectivity and facilitating trade with neighbouring countries, we are helping to reduce regional inequality and boosting the local economy. This initiative is a concrete example of our commitment to sustainable and inclusive development, creating employment opportunities and improving the quality of life of local communities.”

Francisco Joaquin Gaztelu Mezquiriz, Director in charge of Southern Neighbourhood and Türkiye as part of the European Commission’s Directorate-General for Neighbourhood and Enlargement Negotiations (DG NEAR) added: "The modernisation of the Sfax-Kasserine corridor is much more than just an infrastructure project; it is a strategic initiative that illustrates our shared vision of a prosperous and connected future for Tunisia. By supporting projects of this scale, we are strengthening economic and social ties, promoting regional development and providing a better future for the generations to come.”

Sarra Zaâfrani Zenzri, Minister for Infrastructure and Housing, presented the key elements of the project, highlighted its objectives and announced the next steps:

“The implementation of the project to create a dual carriageway on the RN13 between the cities of Kasserine and Sfax via Sidi Bouzid and Kairouan is part of the programme of strategic corridors connecting the governorates of inland Tunisia to coastal economic hubs. The aim is to promote the integration of these governorates into the economic cycle by increasing trade, reducing differences between regions through the development of the road infrastructure sector and increasing road safety.   

The technical studies, the environmental and social impact assessment and the Resettlement Action Plan study have been completed. Currently, the services of the Ministry of Infrastructure and Housing are working on land expropriation for the project, which is progressing in accordance with the schedule developed with the Ministry of State and Land Affairs, as well as all stakeholders.

It is expected that an international call for tenders will be announced in the second half of 2024, with works starting in the second half of 2025 and continuing for 36 months.”

Background information

European Investment Bank (EIB)

Since 1979, the EIB has played a key role in Tunisia’s economic and social development, supporting projects that positively transform everyday life. Through substantial investments in vital areas such as renewable energy, education, urban development and support for small businesses, the EIB is strengthening critical infrastructure and fostering inclusive growth.

The European Investment Bank (EIB) is the long-term lending institution of the European Union (EU) owned by its Member States. EIB Global is the EIB Group’s specialised arm devoted to increasing the impact of international partnerships and development finance beyond the European Union. It is a key partner in the European Union’s Global Gateway initiative, and is designed to foster strong, focused partnership within Team Europe, alongside fellow development finance institutions and civil society. EIB Global brings the Group closer to local people, companies and institutions through our offices around the world.

Global Gateway is the European Union’s strategy to narrow the global investment gap, boost smart, clean and secure links in the digital, energy and transport sectors, and strengthen education, health and research systems. The Global Gateway strategy embodies a Team Europe approach that brings together the European Union, EU Member States and European development finance institutions. It aims to mobilise up to €300 billion in public and private investment from 2021 to 2027, creating essential links rather than dependencies, and closing the global investment gap.

European Union

The European Union is an economic and political union of 27 European countries. It is based on the values of respect for human dignity, freedom, democracy, the rule of law and respect for human rights, including the rights of people belonging to minorities. It works globally to promote the sustainable development of societies, the environment and economies, so that everyone can benefit.