By: AGBI

Foreign direct investment into Tunisia surged nearly 20 percent in the first half of 2025, with the lion’s share centred on industry and energy.

FDI inflow rose to nearly TD1.65 billion ($573 million) between January and June, from around TD1.36 billion in the first half of 2024, Tunisia’s foreign investment promotion agency said in a report carried by the local press on Friday.

The industrial sector, mainly light and medium products, had the bulk of this year’s investment, attracting around TD1.03 billion against the year-earlier TD839 million.

Energy came second, with FDI flow jumping about 60 percent to TD398 million.

The report attributed the surge in energy investment to projects concerning renewables and a resumption of oil exploration, with the drilling of 11 new wells.

France remained the largest investor in Tunisia, pumping around TD421 million in the first half of 2025, the report said.

Qatar emerged as the largest Arab investor, with FDI of nearly TD66 million.

The agency said early this year that FDI flow into the energy sector had recorded large increases over the past two years, soaring around 43 percent in 2024 after the awarding of new contracts.

Investments stood at around TD689 million last year compared with nearly TD479 in 2023. 

The industry and energy ministry said in late 2024 that Tunisia had set a target to expand the use of renewable sources to 30 percent of the energy mix by 2030.

Efforts to achieve that target remain slow, however, as the country has produced only around 700 megawatts of power from solar and other renewable sources against a target of 4,800MW.