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Tunisia Secures $240 Million AfDB Loan for Water and Industrial Overhaul

A $240 million financing package signed between Tunisia and the African Development Bank aims to stabilize water supplies for 2.9 million residents in Greater Tunis while modernizing the environmental standards of the state-owned Tunisian Chemical Group across its key production sites in Gabès, Skhira, and M'Dhilla.

Tunisia Secures $240 Million AfDB Loan for Water and Industrial Overhaul

The capital's national water utility, SONEDE, will utilize a €111.5 million loan to overhaul aging infrastructure. This project includes replacing 25 kilometers of transmission pipelines and 113 kilometers of distribution networks, alongside the installation of 120,000 smart meters. By integrating 17 megawatts of solar capacity and advanced leak-detection systems, the utility intends to reduce waste and improve energy efficiency in water delivery.

Simultaneously, the Tunisian Chemical Group (GCT) is set to receive $110 million to rehabilitate its industrial units. The funding targets the reduction of atmospheric emissions and the implementation of energy-recovery systems, such as a 23-megawatt steam generation project at the Gabès site. Minister of Economy and Planning Samir Abdelhafidh noted that these initiatives align with the national 2026–2030 Development Plan, which prioritizes food, energy, and water security. Malinne Blomberg, representing the African Development Bank, emphasized that the investment serves a dual purpose: restoring industrial competitiveness while mitigating the environmental impact on surrounding communities.

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