Tourism is a major part of Tunisia’s economy and the country relies heavily on tourism as a source of foreign currency for capital formation. As a result, the sector has received substantial government attention in the form of infrastructure development and pro-tourism regulation. The country has experienced a political shift caused by rising social and economic inequality during former President Ben Ali’s regime. A newly elected constituent assembly has been formed, although the focus on tourism is expected to remain unchanged. However, the protests, known as the Jasmine Revolution, caused a major decline in inbound tourism in 2011, and while tourism has rebounded, the country faces the risks of political instability and rising Islamic fundamentalism, which could hamper its image. Tourism in Tunisia also faces competition from other emerging mass-tourism destinations in South-east Asia and from its neighbor Morocco. With Europe in the midst of a recession, Tunisia is also under pressure to search for new markets to fuel tourism growth in the coming years.
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