Posted on Friday, 26 August 2016 12:24By Tarek AmaraIf Tunisia does not overcome its economic difficulties, an austerity programme will be inevitable next year with thousands of public sector job cuts and new taxes, prime minister-designate Youssef Chahed told parliament on Friday. "If the situation continues like this then in 2017 we will need a policy of austerity, and dismiss thousands of public sector employees and impose new taxes," Chahed told lawmakers before the vote. He expected the budget deficit to widen by 2.9 billion dinars to reach 6.5 billion dinars by the end of 2016. Chahed, at 41 the youngest prime minister Tunisia has had, said his government would be tough with illegal strikes. At 13.5 percent of GDP, Tunisia's public sector wage bill is proportionately one of the highest in the world.

Source: The North Africa Journal August 26, 2016 11:48 UTC