Tunisia holds key rate at 7.5% as inflation eases

Tunisia's central bank kept its benchmark interest rate at 7.5% on Friday, maintaining March's cut from 8%—the first in five years amid pressure from President Kais Saied. Inflation fell to 5.6% in April, a five-year low, with 2024's 7% average projected to drop to 6.2% this year. The current account deficit widened to 3.26 billion dinars ($1.10 billion). Reserves shrank to 22.7 billion dinars (98 days of imports) from 27.3 billion (121 days) in 2024.