As a new government begins its term in Tunisia, the leadership faces a potent combination of challenges that have the potential to derail some of the progress made since January 2011, when the country began its transition to democratic rule. From an economy wracked by the Covid-19 pandemic, to growing political polarisation, to persistent corruption, Tunisia's political future remains uncertain.
Tunisia has fared relatively well during the pandemic, initiating severe lockdown measures early on that helped keep the number of cases down. While the country has seen an uptick in cases following the reopening of the land, air and sea borders on June 27, the number of cases (more than 8,000 cases and at least 129 deaths as of Thursday) remains low compared to other Mediterranean countries. But the damage Covid-19 has brought to Tunisia is far greater than the disease casualties. Rather, the pandemic has left Tunisia with an unemployment rate of 20 per cent, GDP growth rate expected to decline by 7 per cent this year and a tourism industry a shambles.
Even prior to the pandemic, Tunisia’s economy was fragile and had just started showing signs of positive growth, with some of the best economic figures since the 2010-2011 uprisings. But the pandemic has spoiled much of the good news, making it imperative that the new government prioritise reform aimed at addressing economic growth and levelling the playing field for the country’s traditionally marginalised interior and southern regions, which have suffered disproportionately during the pandemic.
On September 2, the Tunisian parliament approved Prime Minister Hichem Mechichi's government. This is the 12th government since 2011 and the third attempt at government formation since the October 2019 elections that brought this parliament into power. Habib Jemli, who was tasked by the largest party in Parliament, the Islamist Ennahda, to form a government, failed to secure enough votes to move forward. His successor, Elyes Fakhfakh, was chosen by President Kais Saied in January and secured a vote of confidence in his government the following month, leaving the country without a functioning cabinet for four months. But Mr Fakhfakh's government was short-lived, and he was forced out by the President in July.
Mr Saied's choice of Mr Mechichi as Prime Minister surprised many within the political establishment, as he was not one of the candidates put forth by a political party. And while he had some previous governing experience, his most important quality seems to be that of his close ties to Mr Saied. Mr Mechichi is one of Mr Saied's advisers and had served, briefly, as interior minister in the previous government. His appointment signalled that Mr Saied is looking to tighten his control over the government and siphon power away from Ennahda, the controlling party within government, from whom the President has grown increasingly distant over the past few months.
And Mr Mechichi’s choices seem to have echoed his own selection. Rather than cobbling together a government representing various party interests, he chose to arrange a “technocratic” government, with ministers selected based on their technical skills, instead of political affiliation. While some ministers come from the bureaucracy, others are Saied loyalists, including some of the most high-profile posts. The Minister of Interior, for example, is a private lawyer who had served as a campaign co-ordinator for Mr Saied. The Minister of Defence is a former law professor, like Mr Saied. And the Minister of Foreign Affairs is one of his former diplomatic advisers.
Mr Mechichi’s decision to de-politicise the government could be a smart move. Mr Fakhfakh’s government failed, in part, due to growing polarisation. The October 2019 elections brought a whopping 31 parties into parliament, with the two largest parties – Ennahda and Qalb Tounes – holding only 24 and 18 per cent of seats, respectively. This reflects both the high amount of dissatisfaction of the public with the political establishment, particularly traditional parties, and the growing political polarisation within the country.
One trend that is both a result of and contributes to the weakness of political parties is the phenomenon of party tourism, where political figures jump from one party to another in order to stay in power. Additionally, parties tend to quickly shift their alliances, making it difficult to discern what a party actually stands for. For example, Ennahda and Qalb Tounes, which entered 2020 as political foes, with Ennahda vociferously condemning Qalb Tounes for its ties to corruption, have now turned into allies, united by their shared animosity toward President Saied.
The political landscape has also suffered from growing polarisation, which has manifested itself in sometimes violent interactions between politicians within the halls of parliament. Some of the most vicious attacks have been lobbied between the Karama Party, a conservative Islamist party pushing for a larger role of religion within the state, and Abir Moussi’s Free Destourian Party, made up largely of supporters of the former regime, who are fed up with the democratic transition. While the fight is often framed as a secularist-Islamist divide, the reality is far more complex, with fights over religion as well as the Tunisian identity and deeper social issues.
Regardless of the cause, the polarisation and fractured political landscape have made governing difficult and led to little likelihood that parliament or the government will be able to come to agreement on the issues necessary to fix the socio-economic problems that are plaguing the country.
Another major issue facing Tunisia today is the persistence of corruption – one of the key causes of the uprisings. While the country has made tremendous strides in dismantling the mafia-like structures that dominated the Ben Ali era, corruption has become democratised and many of the practices that allowed corruption to flourish have yet to change. The sole issue on which Mr Saied campaigned in the presidential race was fighting corruption. Thus, he has taken a particularly strong interest in this issue. And Mr Fakhfakh was brought down by corruption allegations, despite winning praise from Tunisians for his handling of the pandemic.
The Fakhfakh affair spiralled into a larger contest between him and the National Anti-Corruption Body. In what many saw as a retaliatory measure, Mr Fakhfakh fired its head, Chawki Tabib, who initially refused to leave his post, citing impropriety in his dismissal. Mr Mechichi and his government will need to work closely with the new head, Imed Boukhris, to keep the anti-corruption fight moving forward. This is an issue that Mr Saied continues to watch closely. Most recently, he established of his own committee to fight corruption and recover stolen assets. The committee will be houseed under the presidency, despite corruption falling clearly under the mandate of the prime minister, signalling that even with his close ties to Mr Mechichi, he wants to maintain strict control over the anti-corruption agenda.
Tunisia is embarking on a critical period. December will mark the 10th anniversary of the revolution and will shine a spotlight on the country's successes – and failures – of the past decade. As the second decade of transition begins, there are several signs of hope. First, the continued pride Tunisians, particularly youth, have in their country's accomplishments and dedication to the principles of the revolution shows that the public will not easily turn its back on the democratic transition. Second, despite its challenges, Tunisia continues to serve as a beacon of hope for people across the Arab world, both as a haven for freedom of speech and expression and a potent and living symbol that democracy can flourish in the Arab world.
However, passion, pride and hope are not sufficient to sustain a transition or boost the economy. Rather, Tunisia's new leaders should figure out a way to put politics aside and take on the difficult tasks necessary to thrust their country into the next decade as a healthy democracy.
Sarah Yerkes is a senior fellow in Carnegie’s Middle East Programme
MATCH INFO
Europa League semi-final, second leg
Atletico Madrid (1) v Arsenal (1)
Where: Wanda Metropolitano
When: Thursday, May 3
Live: On BeIN Sports HD
Results
Catchweight 60kg: Mohammed Al Katheeri (UAE) beat Mostafa El Hamy (EGY) TKO round 3
Light Heavyweight: Ibrahim El Sawi (EGY) no contest Kevin Oumar (COM) Unintentional knee by Oumer
Catchweight 73kg: Yazid Chouchane (ALG) beat Ahmad Al Boussairy (KUW) Unanimous decision
Featherweight: Faris Khaleel Asha (JOR) beat Yousef Al Housani (UAE) TKO in round 2 through foot injury
Welterweight: Omar Hussein (JOR) beat Yassin Najid (MAR); Split decision
Middleweight: Yousri Belgaroui (TUN) beat Sallah Eddine Dekhissi (MAR); Round-1 TKO
Lightweight: Abdullah Mohammed Ali Musalim (UAE) beat Medhat Hussein (EGY); Triangle choke submission
Welterweight: Abdulla Al Bousheiri (KUW) beat Sofiane Oudina (ALG); Triangle choke Round-1
Lightweight: Mohammad Yahya (UAE) beat Saleem Al Bakri (JOR); Unanimous decision
Bantamweight: Ali Taleb (IRQ) beat Nawras Abzakh (JOR); TKO round-2
Catchweight 63kg: Rany Saadeh (PAL) beat Abdel Ali Hariri (MAR); Unanimous decision
The specs: Audi e-tron
Price, base: From Dh325,000 (estimate)
Engine: Twin electric motors and 95kWh battery pack
Transmission: Single-speed auto
Power: 408hp
Torque: 664Nm
Range: 400 kilometres
The specs
Engine: 2.0-litre 4cyl turbo
Power: 261hp at 5,500rpm
Torque: 405Nm at 1,750-3,500rpm
Transmission: 9-speed auto
Fuel consumption: 6.9L/100km
On sale: Now
Price: From Dh117,059
more from Janine di Giovanni
The bio
Favourite vegetable: Broccoli
Favourite food: Seafood
Favourite thing to cook: Duck l'orange
Favourite book: Give and Take by Adam Grant, one of his professors at University of Pennsylvania
Favourite place to travel: Home in Kuwait.
Favourite place in the UAE: Al Qudra lakes
Key findings of Jenkins report
- Founder of the Muslim Brotherhood, Hassan al Banna, "accepted the political utility of violence"
- Views of key Muslim Brotherhood ideologue, Sayyid Qutb, have “consistently been understood” as permitting “the use of extreme violence in the pursuit of the perfect Islamic society” and “never been institutionally disowned” by the movement.
- Muslim Brotherhood at all levels has repeatedly defended Hamas attacks against Israel, including the use of suicide bombers and the killing of civilians.
- Laying out the report in the House of Commons, David Cameron told MPs: "The main findings of the review support the conclusion that membership of, association with, or influence by the Muslim Brotherhood should be considered as a possible indicator of extremism."
THE SPECS
Cadillac XT6 2020 Premium Luxury
Engine: 3.6L V-6
Transmission: nine-speed automatic
Power: 310hp
Torque: 367Nm
Price: Dh280,000
SPEC%20SHEET
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MATCH INFO
Uefa Champions League last 16, second leg
Liverpool (0) v Atletico Madrid (1)
Venue: Anfield
Kick-off: Thursday, March 12, midnight
Live: On beIN Sports HD
THE SPECS
Engine: 6.0-litre, twin-turbocharged W12
Transmission: eight-speed automatic
Power: 626bhp
Torque: 900Nm
Price: Dh1,050,000
On sale: now
The President's Cake
Director: Hasan Hadi
Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem
Rating: 4/5
MATCH INFO
AC Milan v Inter, Sunday, 6pm (UAE), match live on BeIN Sports
Our legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
About Okadoc
Date started: Okadoc, 2018
Founder/CEO: Fodhil Benturquia
Based: Dubai, UAE
Sector: Healthcare
Size: (employees/revenue) 40 staff; undisclosed revenues recording “double-digit” monthly growth
Funding stage: Series B fundraising round to conclude in February
Investors: Undisclosed
ONCE UPON A TIME IN GAZA
Starring: Nader Abd Alhay, Majd Eid, Ramzi Maqdisi
Directors: Tarzan and Arab Nasser
Rating: 4.5/5
Timeline
2012-2015
The company offers payments/bribes to win key contracts in the Middle East
May 2017
The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts
September 2021
Petrofac pleads guilty to seven counts of failing to prevent bribery under the UK Bribery Act
October 2021
Court fines Petrofac £77 million for bribery. Former executive receives a two-year suspended sentence
December 2024
Petrofac enters into comprehensive restructuring to strengthen the financial position of the group
May 2025
The High Court of England and Wales approves the company’s restructuring plan
July 2025
The Court of Appeal issues a judgment challenging parts of the restructuring plan
August 2025
Petrofac issues a business update to execute the restructuring and confirms it will appeal the Court of Appeal decision
October 2025
Petrofac loses a major TenneT offshore wind contract worth €13 billion. Holding company files for administration in the UK. Petrofac delisted from the London Stock Exchange
November 2025
180 Petrofac employees laid off in the UAE
The Bio
Favourite place in UAE: Al Rams pearling village
What one book should everyone read: Any book written before electricity was invented. When a writer willingly worked under candlelight, you know he/she had a real passion for their craft
Your favourite type of pearl: All of them. No pearl looks the same and each carries its own unique characteristics, like humans
Best time to swim in the sea: When there is enough light to see beneath the surface
The specs
Engine: 2.0-litre 4-cylinder turbo
Power: 258hp from 5,000-6,500rpm
Torque: 400Nm from 1,550-4,000rpm
Transmission: Eight-speed auto
Fuel consumption: 6.1L/100km
Price: from Dh362,500
On sale: now
The alternatives
• Founded in 2014, Telr is a payment aggregator and gateway with an office in Silicon Oasis. It’s e-commerce entry plan costs Dh349 monthly (plus VAT). QR codes direct customers to an online payment page and merchants can generate payments through messaging apps.
• Business Bay’s Pallapay claims 40,000-plus active merchants who can invoice customers and receive payment by card. Fees range from 1.99 per cent plus Dh1 per transaction depending on payment method and location, such as online or via UAE mobile.
• Tap started in May 2013 in Kuwait, allowing Middle East businesses to bill, accept, receive and make payments online “easier, faster and smoother” via goSell and goCollect. It supports more than 10,000 merchants. Monthly fees range from US$65-100, plus card charges of 2.75-3.75 per cent and Dh1.2 per sale.
• 2checkout’s “all-in-one payment gateway and merchant account” accepts payments in 200-plus markets for 2.4-3.9 per cent, plus a Dh1.2-Dh1.8 currency conversion charge. The US provider processes online shop and mobile transactions and has 17,000-plus active digital commerce users.
• PayPal is probably the best-known online goods payment method - usually used for eBay purchases - but can be used to receive funds, providing everyone’s signed up. Costs from 2.9 per cent plus Dh1.2 per transaction.
Most sought after workplace benefits in the UAE
- Flexible work arrangements
- Pension support
- Mental well-being assistance
- Insurance coverage for optical, dental, alternative medicine, cancer screening
- Financial well-being incentives
Super Rugby play-offs
Quarter-finals
- Hurricanes 35, ACT 16
- Crusaders 17, Highlanders 0
- Lions 23, Sharks 21
- Chiefs 17, Stormers 11
Semi-finals
Saturday, July 29
- Crusaders v Chiefs, 12.35pm (UAE)
- Lions v Hurricanes, 4.30pm
The specs
Engine: 8.0-litre, quad-turbo 16-cylinder
Transmission: 7-speed auto
0-100kmh 2.3 seconds
0-200kmh 5.5 seconds
0-300kmh 11.6 seconds
Power: 1500hp
Torque: 1600Nm
Price: Dh13,400,000
On sale: now
Step by step
2070km to run
38 days
273,600 calories consumed
28kg of fruit
40kg of vegetables
45 pairs of running shoes
1 yoga matt
1 oxygen chamber
Super Saturday race card
4pm: Mahab Al Shimaal Group 3 | US$350,000 | (Dirt) | 1,200m
4.35pm: Al Bastakiya Listed | $300,000 | (D) | 1,900m
5.10pm: Nad Al Sheba Turf Group 3 | $350,000 | (Turf) | 1,200m
5.45pm: Burj Nahaar Group 3 | $350,000 | (D) | 1,600m
6.20pm: Dubai City of Gold Group 2 | $300,000 | (T) | 2,410m
6.55pm: Al Maktoum Challenge Round 3 Group 1 | $600,000 | (D) | 2,000m
7.30pm: Jebel Hatta Group 1 | $400,000 | (T) | 1,800m
Suggested picnic spots
Abu Dhabi
Umm Al Emarat Park
Yas Gateway Park
Delma Park
Al Bateen beach
Saadiyaat beach
The Corniche
Zayed Sports City
Dubai
Kite Beach
Zabeel Park
Al Nahda Pond Park
Mushrif Park
Safa Park
Al Mamzar Beach Park
Al Qudrah Lakes
COMPANY%20PROFILE
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RESULT
Arsenal 0 Chelsea 3
Chelsea: Willian (40'), Batshuayi (42', 49')
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
The specs
Engine: Two permanent-magnet synchronous AC motors
Transmission: two-speed
Power: 671hp
Torque: 849Nm
Range: 456km
Price: from Dh437,900
On sale: now
SPEC%20SHEET%3A%20APPLE%20IPAD%20PRO%20(12.9%22%2C%202022)
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