FX.co ★ Tunisia GDP Growth Slows to 1.6% in Q1 2025

Tunisia's GDP experienced a year-on-year increase of 1.6% in the first quarter of 2025, representing the slowest growth rate in three quarters, and a decrease from the 2.4% expansion witnessed in the fourth quarter of 2024. This deceleration is attributed to subpar performance across several pivotal sectors. The trade and repair sector saw growth of 1.9%, down from 2.3%. The information and communication sector expanded by a mere 0.1% compared to 1.3% previously. In public administration and defense, growth fell to 1.6% from 1.9%, while mechanical and electrical industries grew at 0.8%, down from 2.5%. The agriculture, forestry, and fishing sector also slowed significantly, growing at 7.0% versus the former 12.1%. Furthermore, financial and insurance activities faced a deeper contraction, declining by 8.5% compared to a previous decline of 3.8%, and transport and storage shrank by 0.7% after having grown by 5.0%. On a more positive note, growth gained momentum in the construction sector (3.3% vs. 2.5%) and the agri-food industries (6.5% vs. 3.4%), while the accommodation and food services sector continued its robust performance with a 5.7% increase. Conversely, on a quarter-to-quarter basis, the GDP contracted by 0.2% in Q1 2025, marking the most significant decline since Q2 2024 and reversing the previous quarter's 0.8% growth.