Fix economy in Tunisia, and politics follows



Two years on from the departure of Tunisia's president Zine El Abidine Ben Ali and Tunisians are back on the streets, once again calling for change. Revolution rocked the economy and the government, still in transition, appears to have no real plan for righting it. Jobs are still scarce - although unemployment has dropped slightly from a post-revolution high of 19 per cent to 17 per cent - and clear long-term policies do not yet exist to get Tunisians back to work.

In a sense, Tunisia, of all the Arab Spring countries, should have been the easiest to put back together. It is small and prosperous, has a relatively large middle-class, a well-educated population and clear trade possibilities due to its geographical proximity to Europe. Compared to the challenges faced by Egypt or Yemen, Tunisia should have had a relatively easy ride.

The problem is that the country has needed to accomplish two very difficult things simultaneously. The first is reforming the political landscape, the second is reforming and kick-starting the economy.

On politics, the transitional government, especially Ennahda, the Islamist party that dominates the constituent assembly, has got it mostly right. After their election they moved slowly, unlike Egypt, issuing a draft constitution that the public had months to debate. But precisely because of that deliberate approach, the reform of the economy has stalled. Uncertainty about the country's future has kept investors away. Even domestic investors would rather keep their money abroad than risk an uncertain Tunisia.

The lack of movement on the economy has knock-on effects on politics: because the expectations of Tunisians have not been fulfilled, the door has been left open to more extreme elements. Left-wing unions, right-wing Salafists and remnants of the old regime, have all asserted themselves in the past year, claiming the Islamists and secularists cannot run the country effectively.

Many of these problems might dissipate if people were working. But at present, most wealth and opportunity is disproportionately distributed in the north; in the centre and south, where Tunisia's uprising began, unemployment remains well above 25 per cent. Better distribution of public spending is therefore desperately needed.

The country can grow its way out of its economic malaise, but it needs to convince investors - domestic and foreign - that post-revolution Tunisia is a stable and safe place to do business, where corruption and crony capitalism are woes of the past. On politics, Tunisians can be convinced to be patient. They will be less forgiving on bread and butter issues.

The National's picks

4.35pm: Tilal Al Khalediah
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In numbers: PKK’s money network in Europe

Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010

Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille

Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm

Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year

Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”

Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners

TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013 

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