Summary:

On 11 August 2023, Tunisia’s Minister of Trade and Development Kalthoum Ben Rejeb and the Libyan Minister of Economy and Trade Mohamed al-Hwej announced plans to develop and modernize the Ras Jedir border crossing as part of the broader development of a “continental trade corridor.”

The two ministers discussed enhancing the border crossing to meet international standards which could give both countries better access to sub-Saharan African markets. Plans include efforts to explore the integration of the free commercial zones in Ben Guerdane on the Tunisian side of the border and in Ras Jedir on the Libyan side of the border.

The officials expressed a desire to see trade reach 5 billion dinars. In 2022, trade between the two countries was nearly 3 billion dinars. Increased cooperation on the trade of food and pharmaceuticals were identified as a priority.

Outlook:  

Improved trade between Libya and Tunisia would benefit both countries, particularly as it relates to capturing sub-Saharan market opportunities. However, many challenges remain with both countries experiencing their own forms of instability.

Tunisia could struggle to fund any significant effort toward modernization given budget constraints. Libya, on the other hand, continues to navigate a complicated political environment with militias and informal power brokers managing much of the country’s infrastructure and institutions.

Any improvements to operations at the border would also face the challenge of localized corruption and disruption of smuggling and other illicit cross-border activity.

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