Tunisia's new government must quickly reform or face unrest

Tunisia's new government must quickly reform or face unrest
Rafaa Chehoudi analyses what is stake for Tunisia's government: Either implement urgent economic and security measures, or face a Greek-style collapse, he argues.
5 min read
28 Aug, 2016
Tunisia's new government finally won the approval of the parliament [AFP]
Surprisingly, Youssef Chahed, the new Tunisian appointed Prime Minister, succeeded on Friday in securing the confidence of the parliament after long rounds of negotiations among political parties and civil society organizations.

With 167 out of 2017 votes, members of the parliament officially advocated Chahed proposed cabinet of 26 ministers and 14 secretaries of state.

While many observers assumed that the parliament would veto against the new appointed governmental team, it seems that Chahed  turned out well during Friday's parliament session with an impressive ability to  explicitly justify his choices and clearly describe his future plans.

As indicated in Carthage agreement, first initiated by the president Beji Caid Essebsi in an attempt to introduce long lasting solutions for the economic hardships and security issues prevailing since the fall of Ben Ali regime, the Chahed government clearly reflects the president’s vision for a more inclusive cabinet that involves all political orientations and  capable of  harmoniously working together for the next three years.  

First, the most surprising aspect of the new governmental team is Chahed's appointment of two leftist ministers who have long opposed both Nidaa Tounis and Ennahda Islamist Party.
The most surprising aspect of the new governmental team is Chahed appointment of two leftist ministers who have long opposed both Nidaa Tounis and Ennahda Islamist Party
Accordingly, it is legitimate for many Tunisians to call into question the results of the 2014 elections results, as the left wing secured only 16 seats in the parliament while Nidaa Tounis with 89 seats and Ennahda Party with 69.

Second,  Chahed new appointed government included few ministers who served in several national organisations such as UGTT, the largest trade union in Tunisia, recently awarded the Nobel Peace Prize.

This decision is undoubtedly part of the new PM's plan to absorb the ongoing social unrest with a dramatic increase in unemployment and the alarming rise of poverty in the country reaching almost 15.5% according to the World Bank report.

Youssef Chahed's speech already elaborated his cabinet future plans, which seem rather unpromising with warnings of economic austerity and job cuts.
Tunisia is coming up against the most challenging economic hardship since its independence, with an increase in foreign debts and a dramatic drop of Tunisian currency against international currencies such as the Euro and the US dollar
Tunisia is coming up against the most challenging economic hardship since its independence, with an increase in foreign debts and a dramatic drop of Tunisian currency against international currencies such as the Euro and the US dollar.

Youssef Chahed stated that if no significant economic reforms are introduced in 2016, "economic austerity along with an increase in taxes and job cuts will be unescapable”.

Chahed also clearly stated that Tunisian national growth in 2016 won’t get as far as 1.5 percent, below what was expected by the former PM Habib Essid.

As far as war against terrorism is concerned, Chahed promised more effective measures to provide a stable environment paving the way first for more foreign investment and second saving  the tourism sector which used to contribute with more that 15.2 percnet of total receipts  before the fall of Ben Ali regime.

Corruption was an important theme in today session, as Tunisia struggles with a dominant black market run by powerful smugglers who may have strong relationship with terrorism.

Youssef Chahed stated that “we are aware that we will have to deal with lobbies that completely refuse changes and reforms.
Chahed promised more effective measures to provide a stable environment paving the way first for more foreign investment and second saving the tourism sector

However, Tunisians have always been smart.

They are able to create miracles. "Our country needs all Tunisians and we have to stand for our economy to bring back hope to our youth," he said.    

The success or the failure of Youssef Chahed's government and Beji Caid Essebsi's political experiment depends on several factors.

Notwithstanding the appointment of few ministers from UGTT,  the annouced governmental plans will certainly create severe social unrest among Tunisians, which could cause labour unrest through long strikes and damaging boycotts.

If the UGTT and other labor unions are incapable of cooperating with Chahed, Tunisian economy and the unfolding democratic transition will be seriously threatened.
If the UGTT and other labor unions are incapable of cooperating with Chahed, Tunisian economy and the unfolding democratic transition will be seriously threatened
The new appointed cabinet has also to demonstrate exceptional negotiation skills with the International Monetary Fund and Tunisian allies such as the European Union and The United States.

These negotiations will mainly focus on the possibility of rescheduling Tunisia's foreign debt payment while implementing IMF recommendations to strengthen job creation and boost economic growth. Beji Caid Essebsi in an interview with a local tv warned that “ we have to fix our economy before it is too late” .

This suggests that Chahed should immediately implement more effective economic and security reforms before coming up against the Greece scenario.


Rafaa Chehoudi is an MA student majoring in International Relations at the Institute of Social Sciences in Tunisia and a member in the International Association for Political Science Students. 

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