IsDB Approves €335.5 Million Loan for Tunisia Highway Expansion as Part of $938 Million Six-Country Package

The Islamic Development Bank (IsDB) has approved a €335.5 million loan to extend Tunisia’s highway network into the northwestern governorates of Kef and Jendouba, in a financing move aimed at improving connectivity, road safety, and transport infrastructure.

The decision was taken during the bank’s 368th Board of Executive Directors meeting, held Sept. 29-30 in Jeddah, Saudi Arabia. According to the IsDB, the financing will help local populations gain better access to services and strengthen links between northwestern Tunisia and the rest of the country. The bank also expects the project to drive regional economic integration and social cohesion.

The Tunisia highway project comes as the country continues to expand its road network. Technical studies for the El Kef-Tunis highway section were completed in the first half of 2026, with construction expected to begin in the coming months, according to La Presse. In August, the Tunisian government reaffirmed its commitment to the A2 Tunis-Jelma highway project, scheduled for completion in 2027.

At the same meeting, the IsDB approved $60.67 million in financing for Nigeria’s Integrated Agricultural Development Centers project in Katsina State, northern Nigeria. The project is designed to increase agricultural productivity, raise farmers’ incomes, and strengthen resilience to climate shocks and market fluctuations.

Overall, the IsDB approved a new financing package worth $938 million for six member countries. In addition to Tunisia and Nigeria, Uzbekistan, Pakistan, Syria and Kyrgyzstan will receive funding for projects covering energy, agriculture, healthcare, transport, water supply and other development sectors.

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