Their growth in 2012 will probably be modest until the formation of new republic and local authorities, but could catch up thereafter, in the second half of the year. A rise in import prices, prompted by the weakening of the dinar, may put pressure on domestic prices.
We estimate, however, that real marginal costs of net importers are still relatively low, and that importers will be able to offset a major part of the growth in import costs by cutting their margins.