Central Bank of Tunisia Circular No. 2026-06 of June 3, 2026 on the Conditions and Procedures for Settling Non-Performing Agricultural Loans

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Tunisia, June 3, 2026
Circular to Banks No. 6 of 2026
Subject: Conditions and procedures for settling non-performing agricultural loans.

I, the Governor of the Central Bank of Tunisia, Having examined Law No. 35 of 2016 dated April 25, 2016 on the basic system of the Central Bank of Tunisia, And Law No. 48 of 2016 dated July 11, 2016 on banks and financial institutions, And Law No. 17 of 2025 dated December 12, 2025 on the Finance Act for 2026, particularly Article 59 thereof, And Law No. 5 of 2026 dated March 11, 2026 on the settlement of non-performing agricultural loans, And Government Decree No. 390 of 2017 dated March 9, 2017 on establishing the financial receiver unit for reviewing deferred payment operations and regulating Tunisian banking practice, And Central Bank Circular No. 47 of 1987 dated December 23, 1987 on loan monitoring and funding, And Circular No. 24 of 1991 dated December 17, 1991 on risk distribution and coverage, And Circular No. 6 of 2008 dated March 10, 2008 on information centralization (as amended by Circular No. 9 of 2019), And Circular No. 8 of 2019 dated October 14, 2019 on defining Islamic banking operations, And Resolution No. 6 of 2026 dated May 18, 2026 as amended by Article 42 of Law No. 35 of 2016, Has decided as follows:

Chapter 1: General Provisions (Articles 1-3)
Article 1: Farmers and institutions active in agricultural credit may, upon meeting the conditions, benefit from one of two settlement regimes for non-performing legal loans, as provided by these provisions:

• Law No. 5 of 2026 dated March 11, 2026 on settling non-performing agricultural loans;
• Article 59 of Law No. 17 of 2025 on the Finance Act for 2026.
  Settlement procedures apply to farmers and agricultural credit institutions that do not engage in "Category A" banking operations as defined by the Tunisian banking practice specified in Annex 1 of Government Decree No. 390 of 2017, excluding other banking operations.

Article 2: Settlement applies after submitting an application, and borrowers may choose between the two regimes for the same debt.

Article 3: Provisions of this Circular apply to debts financed through Islamic banking, respecting characteristics of such financing regarding principal and late penalties.

Part 1: Settlement according to Law No. 5 of 2026 (Articles 4-9)
Article 4: Banks settle non-performing banking debts allocated to the following resources for farmers and agricultural credit institutions specified in Articles 4 and 5 as of September 30, 2025, as declared to the Central Bank of Tunisia:

• Rescheduling the entire principal and contractual interest over a maximum period of 7 years, with a grace period to be determined case-by-case per repayment schedule;
• Full waiver of all late penalties charged on these debts.
  Borrowers must pay 5% of the principal amount upon application to benefit from these procedures.

Article 5: If farmers and agricultural credit institutions specified in Articles 4 and 5 as of September 30, 2025 pay the full principal without rescheduling within a maximum of 6 months from application, banks waive all late penalties and 50% of the contractual interest.

Article 6: Settlement procedures apply to debts subject to criminal proceedings for fraud or money laundering only if a final acquittal judgment is issued.

Article 7: Settlement procedures apply to farmers and agricultural credit institutions that deposited applications with the bank branch by December 31, 2026. Applications may include a declaration signed by the borrower stating that the settled debt is not subject to criminal proceedings for fraud or money laundering, or that a final acquittal judgment has been issued.

Article 8: Banks complete procedures and sign the settlement contract within a maximum of 15 days from application, according to models in Annex 1, after verifying:

• The loan was used for financing eligible activities under "Category A" banking operations;
• The validity of the declaration referred to in Article 7;
• The repayment schedule's compatibility with the borrower's capacity after settlement.
  Applications are rejected if funds were not used for eligible activities, declarations are invalid, or loans were not used for financing specified activities.

Article 9: Settlement contract models in Annex 1 are reference templates containing minimum essential provisions. Banks may add clauses specific to their operations or financing forms, provided they do not violate laws/circulars, do not affect client rights or increase obligations, and do not restrict settlement benefits.

Part 2: Settlement according to Article 59 of Finance Law No. 17 of 2025 (Articles 10-12)
Article 10: Banks settle agricultural debts allocated to the following resources for farmers and agricultural credit institutions specified in Articles 4 and 5 as of June 30, 2025, with principal amounts not exceeding 10,000 Tunisian Dinars per farmer as of acquisition:

• Rescheduling principal and contractual interest without respite over a maximum period of 10 years, with a grace period not exceeding one year determined case-by-case;
• Full waiver of all late penalties.

Article 11: Settlement procedures apply to farmers who deposited applications by December 31, 2026. Applications may include a declaration signed by the borrower stating that the debt is not subject to criminal proceedings or has received a final acquittal.

Article 12: Banks complete procedures and sign contracts within 15 days from application. Applications are rejected if conditions are unmet or declarations are invalid per Article 11.

Part 3: Common Provisions (Articles 13-17)
Article 13: Banks, exceptionally and as a mechanism upon signing the settlement contract, review the classification of beneficiaries to Category 1 in the Central Bank's information center. Banks may not automatically recover deposits allocated to these debts and must integrate interest with settled loans in registers unless actually collected. Banks terminate contracts if borrowers default on obligations or fail to meet conditions. Upon termination, banks reclassify beneficiaries back to their original category before signing the settlement contract.

Article 14: Banks report settled debts to the Central Bank's information center as specified in Annex 2. Banks maintain special registers to monitor beneficiaries' compliance.

Article 15: Banks appoint accountants to prepare reports on Circular compliance, submitted to the Ministry of Finance and Central Bank within 15 days of issuance.

Article 16: This Circular takes effect from the day following its publication.
Signed:
Zouhair El Nouri, Governor

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Annex 1 to Central Bank Circular No. 6 of 2026 dated June 3, 2026 Models of Settlement Contracts

Model Contract No. 1 (For beneficiaries under Paragraph 1 of Article 1 of Law No. 5 of 2026) Between the undersigned:

• Bank, ....................., a limited liability company (SARL), registered office at ............, Tunis, Tax ID .................., represented by its sole manager, .........................., for signing this contract.
• The party referred to in this contract as "the Bank"
• The party referred to in this contract as "the Borrower"

Preamble:
In application of Law No. 5 of 2026 dated March 11, 2026 on settling non-performing agricultural loans, And Central Bank Circular No. 6 of 2026 dated June 3, 2026 on conditions and procedures for settling non-performing agricultural loans,
Whereas the Borrower obtained a loan from Bank... under an agreement dated ......., certified by the financial receiver on ........., bearing receipt No. ...... and file No. ............
Whereas the Borrower committed to repaying all loan installments on schedule and was subsequently classified as a non-performing debtor (Category 4 or below) by the Central Bank of Tunisia's information center as of ....... according to applicable regulations, And following the Borrower's application for settlement deposited with the Bank on .........; The parties have agreed as follows:

Article 1: Subject of the Contract
This contract settles the non-performing agricultural debt of the Borrower in accordance with Paragraph 1 of Article 1 of Law No. 5 of 2026 and Circular No. 6 of 2026.

Article 2: Amount Owed by the Borrower
The Borrower confirms that, prior to settlement application, they owe the Bank a total amount of ......... Dinars, detailed as follows:

Contract ID	Loan Amount	Principal Amount Owed	Contractual Interest up to .......	Late Penalties
Total Amount: ............. Dinars

Article 3: Borrower's Obligations
The Borrower commits to paying a total amount of ......... Dinars, broken down as follows:

• Principal Owed: ......... Dinars after deducting the amount specified in the Preamble;
• Contractual Interest: .......... Dinars.
  The Borrower commits to paying scheduled installments according to the following repayment schedule:
  | Installment Amount | Due Date |
  |--------------------|----------|
  | Principal | |
  | Contractual Interest| |
  The Borrower grants the Bank an irrevocable direct debit order to deduct due installments from their account opened with the Bank. The Borrower may pay installments before maturity.

Article 4: Bank's Obligations
The Bank commits, upon the Borrower fulfilling obligations specified in Article 3, to waive all late penalties estimated at ......... Dinars.

Article 5: Absence of Legal Obstacles
The Borrower declares that the settled debt is not subject to criminal proceedings for fraud or money laundering as of contract signing. If this declaration proves false, the contract is terminated without notice or court order.

Article 6: Guarantees and Prior Obligations All prior guarantees granted to the Bank remain valid, and the Bank may enforce them upon default without additional procedures. This contract does not extend prior obligations or debts between the parties. The Borrower cannot request release of pledged or mortgaged guarantees until full fulfillment.

Article 7: Acceleration Clause
The Bank may demand immediate payment of all amounts due prior to contract signing, including principal and late penalties, in the following cases:

1. Failure to pay an installment upon maturity (principal or contractual interest).
2. Proof that the settled debt was subject to criminal proceedings for fraud/money laundering prior to signing.
3. Bankruptcy, amicable settlement, judicial liquidation, merger, death of the Borrower, or loss of legal capacity.

Article 8: Contract Expenses
The Borrower bears all expenses related to this contract.

Article 9: Competent Court
The courts of the Bank's registered office have exclusive jurisdiction over disputes. This contract may be notarized.

Article 10: Service of Process
The address for all communications is stated in this contract.

Article 11: Date of Signing
This contract was executed in .... copies on ............
Bank Signature: .....................
Borrower Signature: ..................

Model Contract No. 2 (For beneficiaries under Paragraph 2 of Article 1 of Law No. 5 of 2026) [Structure identical to Model 1, with adjustments for Paragraph 2: full payment of principal + 50% contractual interest within max 6 months, no rescheduling.]

Model Contract No. 3 (Special for Islamic Financing Operations - Paragraph 1) [Structure identical to Model 1, adapted for Islamic financing (deferred sale/murabaha/extended murabaha), replacing interest with profit margin, and referencing Islamic banking operations.]

Model Contract No. 4 (Special for Islamic Financing Operations - Paragraph 2) [Structure identical to Model 2, adapted for Islamic financing, specifying full payment of principal + 50% profit margin within max 6 months.]

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