Tunisia has launched an €850mn international bond to help cover its projected $2.3bn 2017 budget deficit. The central bank says the seven-year bond priced at 5.625% was twice oversubscribed.

Finance Minister Lamia Zribi says Tunisia will return to the market later this year with the aim of achieving a total of $2.85bn in external financing including $550mn via a sukuk.

Tunisia’s economy has struggled since the 2011 Arab Spring. More democracy has meant more instability and a...