Tunis - Tunisia cancelled a new tax on Monday imposed on travellers crossing Libya's border after the measure triggered rioting, highlighting the problems facing the government as it seeks to bolster shaky state accounts.
The main teachers union also launched a week-long strike on Monday to demand pay hikes in another challenge to the recently installed government, which is trying to curb state spending and reduce fiscal deficit as required by international lenders.
Tunisia has been praised as an example of compromise politics and democratic transition since overthrowing autocrat leader Zine El-Abidine Ben Ali in a 2011 uprising, holding free elections and drafting a new constitution.