The Tunisian government is considering a proposal to create a local forex market, known as the Marché Forex Local (MFL), to regulate the country's currency exchange and integrate the informal economy. The current market is governed by a 1976 law and is limited to banks, while the country's foreign exchange reserves cover only 97 days of imports. The informal economy accounts for 39% of the country's GDP, and around 36% of the active population works in the informal sector.
The MFL aims to provide a regulated platform for buying and selling foreign currencies against Tunisian dinars (TND) for individuals and companies with foreign currency accounts. The market will be based on an "Agency Only" brokerage model, where economic operators exchange currencies through brokers who do not take positions for their own accounts. The Banque centrale de Tunisie (BCT) will regulate and supervise the MFL, maintaining control over the tracing of foreign currency flows and ensuring compliance with the country's exchange code.
The creation of the MFL is a response to the challenges of managing foreign currencies, improving market efficiency, and tracing financial flows. The current system has limitations, with over 30 billion dinars in cash circulating outside the banking system. The proposed market will unify the exchange market and open it up to all economic operators with foreign currency accounts, allowing for more transparency in price setting.
The MFL will be supported by a new type of specialized intermediary, known as Intermédiaires en Forex (IF), which will be responsible for issuing buy and sell orders for foreign currencies. IFs will act exclusively as brokers, transmitting and matching orders without taking on market risk or counterparty risk. The BCT will be responsible for granting licenses to IFs, which will be required to have a minimum capital of 1.5 million dinars and adhere to a guarantee fund.
The proposed market will also feature a guarantee fund, known as the Fonds de Garantie du MFL, which will provide a collective financial safety net to ensure stability, solvency, and confidence in the market. The fund will cover operational risk, protect clients, and preserve systemic stability. The BCT will have the authority to intervene directly in the market to inject or absorb liquidity and smooth out exchange rate volatility.
The creation of the MFL is part of a broader effort to modernize Tunisia's economy and financial system. The country's finance law for 2026 aims to open up foreign currency accounts to all Tunisians, and a new exchange code is being discussed in parliament. The MFL is expected to contribute to the integration of the informal economy and the development of a local FinTech ecosystem.
The proposal for the MFL has been influenced by recent examples in Africa, where gradual reform and the use of electronic platforms have improved foreign exchange markets. The Tunisian government hopes that the MFL will provide a more efficient and transparent system for currency exchange, while also reducing the risk of dollarization and promoting economic growth.
Key points
- The Tunisian government proposes creating a local forex market, the Marché Forex Local (MFL), to regulate currency exchange and integrate the informal economy.
