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Tunisia: Understanding Conflict 2012 - Johns Hopkins School of ...

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U.S. Assistance in <strong>Tunisia</strong><br />

Cody Dietrich<br />

High levels <strong>of</strong> unemployment in <strong>Tunisia</strong> in 2010 helped instigate the massive street<br />

demonstrations that eventually overthrew Ben Ali’s 2010 government. Some <strong>of</strong> these<br />

demonstrations continue in <strong>2012</strong> and have a destabilizing effect on the country: reducing<br />

national investments and limiting employment. <strong>Tunisia</strong> is working to improve its image<br />

to attract various forms <strong>of</strong> investment and assistance from abroad, including the U.S.<br />

government and its associated aid programs. The U.S. understands the importance <strong>of</strong> a<br />

successful democratic transition in <strong>Tunisia</strong> and will provide assistance but is limited by<br />

assistance needs from other more volatile concerns in the region. <strong>Tunisia</strong> has other<br />

options in the region for assistance, but these will not exceed the mutual political and<br />

economic benefits from U.S. assistance. The following chapter will demonstrate how the<br />

current struggle for prosperity in <strong>Tunisia</strong> is constrained by instability that discourages<br />

fresh investment, and will highlight how U.S. assistance might best help <strong>Tunisia</strong><br />

overcome its barriers to a successful democratic transition.<br />

<strong>Tunisia</strong>’s View on Barriers to U.S. Assistance<br />

<strong>Tunisia</strong>ns understand that in order to attract investment they will need to break the<br />

vicious cycle in which unemployment inspired protests create instability, which<br />

discourages fresh investment. The interim government has appealed to the protestors for<br />

a “truce” to cover six months in which low-paid or jobless workers will refrain from<br />

conducting public disorder. Its implementation in January <strong>of</strong> <strong>2012</strong> was to break the cycle<br />

that is seen as limiting investment from countries like the U.S. that are uncertain about<br />

the new government’s ability to create order. Investors from these countries are waiting<br />

to see if <strong>Tunisia</strong> stabilizes before they commit high risk investment into the economy.<br />

The first month <strong>of</strong> the truce produced very few signs <strong>of</strong> stemming the protests. This<br />

situation among others raises the question whether the government is failing to project a<br />

stable environment that will attract foreign assistance.<br />

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