20110412
reuters

WASHINGTON (Reuters) - The World Bank is working with Tunisia on $500 million in budget support, which could leverage an additional $700 million from other donors, World Bank President Robert Zoellick announced on Tuesday.

Zoellick said budget funding will support reforms to increase transparency, improve services and create jobs.

"The reforms will focus on freedom of association; access to information; transparency in public procurement; beneficiary participation in service delivery; and retraining of unemployed workers," Zoellick told a conference call with reporters.

Unrest across the Middle East and North Africa will feature high in talks this week during semi-annual meetings of the World Bank and International Monetary Fund in Washington.

Zoellick said he would visit Tunisia in May to see how the World Bank can help the country, where mass protests toppled its leader in January after 23 years of autocratic rule.

Tunisian Finance Minister Jalloul Ayed said on April 1 the country expects little economic growth this year and needs $4 billion in foreign loans to help it recover from a sharp drop in tourism and foreign direct investment.

Unlike its neighbors Algeria and Libya, Tunisia does not have vast oil and gas reserves and relies heavily on tourism.

Zoellick said the World Bank had called for a meeting of multilateral banks at the IMF and World Bank meetings to discuss joint action to help the region.