Tunisia—Fiscal and Accounting System of Tunisia (FAST)

Client: U.S. Agency for International Development

Duration: 2019-2025

Region: Middle East and North Africa

Country: Tunisia

Solutions: Governance

While the Tunisian economy remains fragile in the aftermath of the COVID-19 pandemic, improving economic conditions over the last two years are revitalizing the climate for business and investment. Despite these improvements, public finances remain precarious, limiting government investments, growth of the economy, and equitable economic opportunities in the private sector.

FAST supports the systems and procedures necessary to operationalize and accelerate Government of Tunisia reforms to modernize the management of public revenues and expenditures. FAST complements other activities implemented by the U.S. Agency for International Development and other international donors in Tunisia to support the Government of Tunisia and the Ministry of Finance’s plan for improving public financial management.

FAST focuses specifically on enhancing and upgrading the government’s integrated public financial management information system (PFMIS) to increase the efficiency, transparency, and predictability of public finances. The project strengthens the government’s capacity to carry out fiscal, budgetary, and revenue collection mandates. The project also advances electronic services to optimize regulations, procedures, and authorizations that reduce the cost and time burden on businesses, facilitate investment and trade, and promote innovation.

Finally, FAST works to strengthen communication between policymakers and the public to build a common understanding of the constraints to—and opportunities for—economic expansion. Combining key public financial management reforms with associated e-service platforms that spur equitable economic growth, FAST represents an important opportunity to assist Tunisia in financing its journey to self-reliance.

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Select Activities

  • Design collaboratively the PFMIS solution, including core functional and technical requirements and the agreed system implementation approach.
  • Implement selected PFMIS modules using an “agile with discipline” approach that includes the medium-term macroeconomic framework, budget preparation, performance budgeting, and debt management modules.
  • Train Ministry of Finance staff to improve management and technology skills and support the implementation and sustainability of new PFMIS modules, including project management certifications.
  • Simplify business registration by automating and streamlining processes to reduce the cost and time required for opening a business.
  • Increase revenue collection through the upgrade and development of new tax systems that improve efficiency, increase access to information, promote transparency, reduce the compliance burden on businesses, and enhance audit and collections activities.
  • Foster public-private dialogue to help the government engage with the private sector and the business community on key economic and fiscal policies through campaigns and online media.

Select Results

  • Prepared the hardware and software strategic plan for 2021–2028 to strengthen the Ministry of Finance data center infrastructure and procured and implemented the recommended equipment.
  • Developed the Medium-term Macroeconomic Framework Module for multi-year planning, setting budgetary ceilings, and generating the summary of estimated revenues and expenditures, as a precursor to budget preparation. Also, enhanced the Budget Preparation Module to manage detailed remuneration budget lines and commitments and payments for public investments.
  • With Tunisia’s National Business Registry, launched an online business registration system in December 2021 to shift from manual processing to full electronic processing for business registration by the end of 2024. The system provides the following e-services: (1) business registration for legal entities, (2) business registration for individuals, (3) trade name reservation, (4) electronic signature functionality, (5) electronic generation of company extracts, and (6) online confirmation of business registration and tax filing compliance.
  • Upgraded the national tax information system and developed the new withholding tax system and tax debt scoring application and, subsequently, supported the launch of the upgraded/new systems in collaboration with the Ministry of Finance tax management units and Data Center.
  • Developed a comprehensive tax information website JIBAYA that consolidated tax information in one location for the Department of Tax, Department of Accounting and Collection, and Department of Tax Legislation, thus providing more comprehensive, accurate, and timely information to taxpayers.
  • As part of a broader training plan, delivered a three-part business intelligence course that complements the implementation of the budgeting solution, debt management system, and upgraded new tax systems by improving data management and extending access to management reporting.
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