Summary:

On 8 December 2024, the Libya-Tunisia Joint-Trade Chamber meeting concluded in Tripoli after the signing of several Memorandums of Understanding (MoUs) between Tripoli’s Minister of Economy and Trade, Mohamed Al-Hwej, and Tunisian Minister of Trade, Samir Obaid, in presence of Tripoli’s Prime Minister Abdelhamid Dbeibah. 

The agreements covered a planned Libya-Tunisia Continental Land Corridor project with the goal of increasing connectivity with sub-Saharan African countries. The project includes plans to facilitate greater overland trade between North and sub-Saharan Africa by improving road infrastructure. 

A separate MoU outlined the establishment of free trade zones and further modernization of the Ras-Jdir border-crossing. This agreement also identified plans to improve customs procedures for the movement of goods between the two countries with the goal of increasing the bilateral trade volume from 3.5 billion Libyan dinars to 5 billion annually (approximately $715,000 and $1 million respectively). 

Meanwhile, the Arab Institute of Business Leaders in Tunisia reached an agreement on 7 December with the Agency of Development for the South affiliated with the Tripoli government to develop joint strategies and research, and to organize joint seminars and workshops to work on enhancing economic integration. 

Separately, on 10 December, the Minister of National Defense, Khaled Shili, met with the Director of Libyan Military Intelligence, Brigadier General Mahmoud Hamza to discuss military cooperation and joint training and counterterrorism and irregular migration. 

Outlook: 

Tunisia and the Tripoli-based government in Libya are likely to continue reinforcing their ties with an eye toward mutual security and economic interests given their geographic proximity and the volume of people and goods moving between the two countries.  

As competition to gain markets in the east is higher, Tunisia has shown a preference for seeking opportunities in the west of Libya as the short distance separating the two capitals favors the practical logistics of investment and trade. 

The re-opening of Libyan markets to small businesses in Tunisia is likely to help Tunisian residents in the south to create (and-recreate) jobs in Libya as was the case before the 2011 uprisings and, in time, potentially decrease social tensions in the south of Tunisia.  

Military cooperation with Tripoli’s government is critical as Tunisia shares 459 kilometers of border with western Libya where armed groups are present and transnational criminal activities continue at pace.  

Cooperation between the Tripoli-based government and Tunisia is likely to moderate tensions that flared following previous statements of the Tunisian President and the Defense Minister on delimitation of common borders which prompted some hostile rhetoric in Libya.

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