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With GDP of USD14 billion, the capital city of Tunisia accounts for 34% of the country's total GDP. Despite being threatened by terrorist attacks (Bordo museum attack and Tunis bus bombing, both in 2015), Tunis continues to develop rapidly. Multibillion projects are under construction to develop the city's business service sector (Tunis Financial Harbour worth USD3 billion), housing (Tunis Sports City worth USD5 billion) and transport (Rapid Rail Network worth USD800 million).
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Tunis's economy is one of the smallest, when compared to other major African or Middle Eastern cities. While in 2016 Tunis generated GDP of USD14 billion, it was way behind compare to Cairo (USD88 billion GDP in 2016), Casablanca (USD24 billion) and Kuwait City (73 billion).
Tunis has an exceptionally high focus on business services, as it made 33% of the city's total GVA, in 2016 compared to just 8% in the rest of the country. The high focus on high value business services contributed to Tunis boasting 47% higher average labour productivity in 2016 when compared to the rest of the country. As a result, annual disposable income per household in Tunis was 35% higher than in the rest of the country.
Transport and housing excluded, household spending was 27% greater in Tunis compared to the rest of the country in 2016. Food and non-alcoholic beverages account for the largest share of expenditure in 2016, namely 22%. Among discretionary items, education and communications boasted 70% higher levels of expenditure in Tunis, than in the rest of the country in 2016.
In 2016, expenditure on housing and transport per household was 63% higher in the city than in the rest of the country. Despite the household income advantage, in terms of city affordability, Tunis is expensive.
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