Attempting to appease both Tunisia’s international lenders and its domestic socioeconomic movements has eroded the government’s political capital.

If Tunisia’s top-down strategy to boost investment and private-sector growth is to succeed, a bottom-up approach is also needed to address the country’s most urgent challenges.

Tunisia is restructuring the state’s economic role, but the effects could sharpen inequalities and threaten political stability.

Contentious politics in a strong, empowered parliament could help Tunisia prevent the consolidation of political power in the executive branch.