T A B L E O F C O N T E N T S PARTICIPATING MEMBERS DEPOSIT BANKS n BANK OF TUNISIA (BT) n BANK FOR HOUSING (BH) n TUNISIAN BANKING COMPANY (STB) n NATIONAL AGRICULTURAL BANK (BNA) n ARAB INTERNATIONAL BANK OF TUNISIA (BIAT) n BANK OF THE SOUTH (BS) n ARAB TUNISIAN BANK n FRANCO-TUNISIAN BANK (BFT) n AMEN BANK n INTERNATIONAL BANKING UNION (UIB) n BANKING UNION FOR TRADE AND INDUSTRY (UBCI) n CITIBANK n TUNISIAN SOLIDARITY BANK (BTS) n ARAB BANKING CORPORATION DEVELOPMENT BANKS n TUNISO-KUWAITI DEVELOPMENT BANK (BTKD) n TUNISO-SAUDI INVESTMENT AND DEVELOPMENT COMPANY (STUSID) n TUNISO-QATARI INVESTMENT BANK (BTQI) n TUNISO-EMIRATES INVESTMENT BANK (BTEI) n TUNISO-LIBYAN ARAB BANK FOR DEVELOPMENT AND FOREIGN TRADE OTHER MEMBERS n NORTH AFRICA INTERNATIONAL BANK n TUNISIAN BUSINESS BANK LEASING COMPANIES n ARAB TUNISIAN LEASE n TUNISIA LEASING n INTERNATIONAL LEASING COMPANY n GENERAL LEASING n TUNISIAN LEASING UNION n AMEN LEASE n ARAB INTERNATIONAL LEASE n MODERN LEASING n HANNIBAL LEASE FACTORING COMPANIES n UNIFACTOR n TUNISIA FACTORING ASSOCIATE MEMBERS n TUNISIAN CLAIM COLLECTION COMPANY (Sté Tunisienne de Recouvrement des Créances) n RAPID COLLECTION COMPANY (Société Rapid Recouvrement) n FINANCIAL COMPANY FOR CLAIM COLLECTION (Sté Financière de Recouvrement des Créances) n CLAIM COLLECTION GROUP (L’internationale de Recouvrement des Créances) n ARAB INTERNATIONAL COLLECTION COMPANY (Compagnie Internationale Arabe de Recouvrement) MEMBERS OF APTBEF’S GOVERNING COUNCIL Chairman : Mr. Faouzi BELKAHIA, Chairman of the Bank of Tunisia. Banking Section : Vice Chairman : Mr. Aissa HIDOUSSI, (Chairman of the Banking Section), Chairman of the Bank for Housing. Members :- Mr. Hedi ZAR, (Treasurer), Chairman of the Executive Board of the National Agricultural Bank. - Mr. Brahim SAADA, Chairman of the Executive Board of the Tunisian Banking Company. - Mr. Chakib NOUIRA, Chairman of the Arab International Bank of Tunisia. - Mr. Abdelwaheb NACHI, Director General of the Tuniso-Saudi Investment and Development Company. - Mr. Laroussi BAYOUDH, Chairman of the Bank of the South. - Mr. Abdelghaffar EZZEDDINE, General Manager of the Tuniso-Qatari Investment Bank. Financial Institutions Section : Vice Chairman : - Mr. Salah JEBALI, (Chairman of the Financial Institutions Section), Chairman of Arab Tunisian Lease. Members :- Mr. Ahmed ABDELKAFI, Chairman of Tunisia Leasing. - Mr. Salah SOUKI, Chairman of the International Leasing Company. - Mr. Mohamed Laroussi BOUZIRI, Chairman of the Factoring Union (UNIFACTOR). General Delegate : Mr. Mohamed Abderraouf BEN GHEZALA. T A B L E O F C O N T E N T S I - TUNISIA’S ECONOMIC SITUATION 7 The international environment 9 Trends in the tunisian economy 12 II - MONETARY, FINANCIAL AND FOREIGN EXCHANGE SITUATION IN 2002 15 III - BANK LIQUIDITY AND MONETARY BALANCE SITUATION 23 IV - THE SITUATION OF THE BANKING SYSTEM AND THE SPECIALISED FINANCIAL INSTITUTIONS 30 Bank situation 31 Deposit Bank Situation 32 Development Bank Situation 41 Financial Institutions Situation 46 Leasing companies situation 47 Factoring companies situation 51 V- THE ASSOCIATION’S 2002 ACTIVITY REPORT 55 VI- APPENDIX 70 DEPOSIT BANK BALANCE SHEETS AND STATEMENTS OF INCOME 73 DEVELOPMENT BANK BALANCE SHEETS AND STATEMENTS OF INCOME 103 FINANCIAL INSTITUTIONS BALANCE SHEETS AND STATEMENTS OF INCOME 114 Leasing Company Balance sheets and statements of income 115 Factoring Company Balance sheets and statements of income 135 OTHER MEMBERS BALANCE SHEETS AND STATEMENTS OF INCOME 141 DEPOSIT BANK NETWORK 147 VII- THE BANKING POPULATION IN 2002 171 I TUNISIA’S ECONOMIC SITUATION Tunisia’s Professional Association for Banks and Financial Institutions Website : www.apbt.org.tn TUNISIA’S ECONOMIC SITUATION THE INTERNATIONAL ENVIRONMENT 2002 was marked by ongoing negative impact from the September 11th attacks, growing geopolitical problems, slower economic growth, and rising unemployment in most countries. Financial scandals at major corporate groups, falling prices on the main stock markets, and fluctuating foreign exchange rates contributed to deteriorating economic conditions and adversely affected investor confidence. On foreign exchange markets in 2002, the euro appreciated sharply against the other main currencies, notably the US dollar. The following table summarises the evolution of the principal economic and financial indicators in developed and developing countries. EVOLUTION OF PRINCIPAL ECONOMIC AND FINANCIAL INDICATORS Description GDP Budget Unemployment growth Inflation Balance % of working Countries % % of GDP population 2001 2002 2001 2002 2001 2002 2001 2002 All developed countries 0.9 1.8 2.2 1.5 -1.6 -3.1 5.9 6.4 Of which : United States 0.3 2.4 2.8 1.6 -0.7 -3.6 4.8 5.8 Japan 0.4 0.3 -0.7 -0.9 -7.2 -7.7 5.0 5.4 European Union 1.6 1.0 2.3 2.1 -0.9 -1.9 7.4 7.5 of which : euro zone 1.4 0.8 2.5 2.2 -1.6 -2.2 8.0 8.3 Developing countries 3.9 4.6 5.8 5.4 -4.7 -4.7 N.A N.A Of which : Tunisia 4.9 1.7 1.9 2.8 -3.4 -2.6 N.A N.A Morocco 6.5 4.5 0.6 2.8 N.A N.A N.A N.A Algeria 2.1 3.1 4.1 1.4 N.A N.A N.A N.A Egypt 3.5 2.0 2.3 2.5 N.A N.A N.A N.A South Africa 2.8 3.0 4.8 10.0 N.A N.A N.A N.A Argentina -4.4 -11.0 -1.1 25.9 N.A N.A N.A N.A Chile 2.8 2.0 3.6 2.5 N.A N.A N.A N.A Source : Central Bank of Tunisia 2002 Annual Report NA = not available. In the euro zone, gross domestic product recovered, after falling at the end of 2001. This rebound was due mainly to exports, with domestic demand remaining virtually flat in 2002. Private consumption seems to have suffered from rising inflation and increasing unemployment. Investment continued throughout the spring on the downward trend in effect since the end of 2000. Over the second half of 2002, growth was arrested by unreliable domestic demand and exports remained the motor for growth in the euro zone. Despite appreciation of the euro, gradual strengthening of world demand boosted growing foreign trade. Increased foreign demand and expenditure to reconstruct in regions that suffered damage from flooding checked the drop in investment in the second half of 2002. But despite a slight Tunisia’s Economic Situation Annual Report 2002 9 Tunisia’s Professional Association for Banks and Financial Institutions Website : www.apbt.org.tn improvement in real income, European households remained very prudent and did not increase consumption much. Overall, growth in the euro zone came in at 0.8% for 2002. After three quarters of recession, the United States embarked once again on a growth path, thanks mainly to a jump in private and public consumption. An increase in household consumption was helped by the expansionist tax policy put forward in the summer of 2001. A higher level of expenditure committed after the September 11th attacks was apparent, especially in the defence sector. Capital investment progressed along with positive growth after dropping for a year and a half. Corporate investment, in a context of heavy absorption of over-investment in new technologies, was expected to join with exports as the main instrument for growth, taking over from private and public consumption. Slowing private consumption was a result of the drop in stock prices, the rise in unemployment, and the slower pace of salary increases (2.9% in annual slippage compared to 3.2% for the third quarter). In Japan, the economy grew in the first half of 2002 despite falling investment levels, thanks to exceptionally vigorous exports. In the second half, world demand for Japanese goods and services increased at a relatively slower pace. It was only at the end of the year that domestic demand improved under the influence of enhanced productive investment. Private consumption remained disheartening, as the job market continued to deteriorate. Industrial production dropped by 1.4% in 2002 and nearly 19,500 companies went bankrupt, a new record high. The “zero rate” monetary policy was not always able to contain deflation. Budgetary policy maintained its focus on 2002 as the time to more effectively reallocate resources, although expenditure was up slightly, notably in health, research and retirement benefits. Expenditure for public investment in construction and public works was once again reduced. The Government also reduced taxes (by about 0.2% of GDP), meant to rally the economy. Structural reforms initiated in 2001 were speeded up. Thus Japan’s economy enjoyed positive GDP growth of 0.3% (annual average) for 2002. Developing countries registered economic growth of 4.6%, compared to 3.9% in 2001. This positive trend was due to good performance on the part of southeast Asian countries. This was in particular the case for South Korea, where the recovery and restructuring program yielded growth of 6.1% vs. 3% in 2001. China in turn continued to set record growth rates, up from 7.3% in 2001 to 8% in 2002. Such robustness was the result of strong export performance and high investment levels, including foreign direct investment. On the other hand, shaken by the proportions of the financial crisis in Argentina, of the oil crisis in Venezuela and of the political crises in Brazil and Columbia, Latin America’s economy stagnated, recording negative growth of 0.1% vs. positive growth of 0.6% a year earlier. Africa was hard hit by adverse international conditions, particularly in the euro zone, causing a drop in exports. This was aggravated in a number of African countries by ongoing drought and drops in tourism and investment.