TUNISIA-GOVERNMENT/CONFIDENCE VOTE Tunisia's parliament approves coalition cabinet

Record ID: 328470

  • Title: TUNISIA-GOVERNMENT/CONFIDENCE VOTE Tunisia's parliament approves coalition cabinet
  • Date: 5th February 2015
  • Summary: MEMBERS OF PARLIAMENT SINGING NATIONAL ANTHEM
  • Embargoed: 20th February 2015 12:00
  • Keywords:
  • Location: Tunisia
  • Country: Tunisia
  • Topics: General
  • Reuters ID: LVAAOVLJPBJSG6URDB4ZZXK1ZQFH
  • Story Text: Tunisia's parliament approved a coalition cabinet on Thursday (February 5) in the latest step in the country's transition to full democracy after its 2011 uprising.
    The new cabinet includes secularists, Islamists and other smaller parties.
    Following the vote, Prime Minister Habib Essid said "Our motto will be work, work and work again."
    Four years after Tunisia's uprising against autocrat Zine El-Abidine Ben Ali, the country has been held up as an example of political compromise and democratic transition with a new constitution and free elections.
    The cabinet, headed by Prime Minister Essid, which includes members of the secularist Nidaa Tounes as well as the Islamist Ennahda party, was approved by 166 members of the 217-seat parliament.
    Nidaa Tounes member Slim Chaker was named finance minister and Taib Baccouche, also from Nidaa Tounes, will be the foreign minister.
    The position of employment minister and other junior minister posts were given to members of Ennahda.
    Essid's new government will have to push through tough economic reforms demanded by Tunisia's international lenders and continue a campaign against Islamist militants.
    Tunisia is also a major source of fighters travelling to Syria.
    "One of the most urgent actions for this government is to strengthen security and fight against terrorism. We consider this to be a condition for the democratic process and the protection of our society," Prime Minister Essid said.
    Essid's Nidaa Tounes party holds 86 seats and its ally, the liberal, secular UPL party has 16. Ennahda holds 69 seats, while the Popular Front 15 and Afek Tounes has eight.
    Tunisia's new government must tackle high public spending and politically sensitive reforms to subsidies.
    Employment, living costs and economic opportunities are the main worry for most Tunisians.
    Essid stressed the need for growth and tax reforms.
    "One of the most necessary reforms is the review of the investment promotion bill in order to improve the business climate and encourage the creation of new firms. We should also reform the tax system in order to enlarge its basis and stop tax evasion," he said.
    The International Monetary Fund agreed in 2012 to support Tunisia with a two-year credit programme worth $1.74 billion.
    In exchange, Tunisia agreed to keep its deficit under control and make the foreign exchange market more flexible.
    Tunisia has seen economic growth accelerating to three per cent in 2015 from an estimated 2.5 percent in 2015, while the budget deficit is expected to narrow from 5.8 percent in 2014 to five percent in 2015.
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