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The US is Considering Suspending $500m in Economic Aid to Tunisia

The Millennium Challenge Corporation (MCC) is set to decide whether to suspend a grant programme to strengthen Tunisia’s transportation, trade and water sectors at its next quarterly board meeting, according to the top US senator on the foreign aid panel. This comes as backlash over democratic backsliding under President Kais Saied continues to grow. The MCC is an independent agency that invests in low-income and lower-middle-income countries. The agency had unanimously approved a five-year compact with Saied’s government – Tunisia’s first – in June 2021 that sought to facilitate trade with Tunisia by investing in the Port of Rades outside Tunis and the country’s groundwater resources.