(TAP) - The growth rate is expected to stand at -4.4% in 2020 in the wake of the COVID-19 pandemic, shows a study on the economic impact of the coronavirus on the Tunisian economy for 2020.

"Thus, in light of this study and for reasons of prudence, the government is going to forecast a growth rate of -6% or -7% in the 2020 supplementary finance law, against a growth rate of 2.7% initially forecast in the 2020 Finance Law," said Development, Investment and International Cooperation Minister Selim Azzabi at a press conference held Wednesday in Tunis.

This study was conducted by the Ministry of Development, Investment and International Co-operation and the United Nations Development Programme (UNDP).

The study aims to set up an economic recovery programme in order to better cope with the economic and social effects of the COVID-19 pandemic and to prepare the 2021-2025 development plan.

 The study also projects a drop by 4.9% in the global investment and by 8% in the household consumption. Exports and imports are also expected to edge down by 8% and 9.6%, respectively.

Azzabi said the complementary bill will include a string of measures that will help cushion the impact of the crisis while identifying sources of funding, particularly that the government will seek to reduce public indebtedness.

Several approaches can be embraced, including the integration of the informal sector into the mainstream economy and decashing by means of reducing cash transations and changing currency in circulation.

These measures are also designed to optimise State expenditure by means of restructuring public bodies and cutting expenses, gear social aid towards eligible recipients and seek greater tax fairness.

The minister said the government will undertake a home-to-home strategy to attract new investors. Studies showed that the amount of investments in Asia that will be redirected to Europe is nearly of 50 billion dollars.

Tunisia, Azzabi said in another vein, is conducting talks with lender countries to explore avenues for reducing pressure on public finance.