The Tunisian government has revealed that the reduction of fuel prices is possible, but only if world prices fall for the price of a barrel of oil.

At a licensing ceremony for four companies producing electricity from wind power, the Minister of Industry and Small and Medium Enterprises, Salim Feriani, announced that the government would be open to this possibility, if the prices of the barrel continued to fall.

He added that the decline in oil prices is good for consumers and businesses, but is a handicap for the state, as it discourages investment in the fields of exploration and exploitation in Oil and Gas industry.

Oil prices have fallen sharply to levels not seen for almost a year, resulting in calls for a reduction in fuel prices in Tunisia.

Youssef Chahed’s government has raised fuel prices by about 4 % for the fourth time in a year in an attempt to reduce the budget deficit and meet the economic reform requirements stipulated by international lenders to Tunisia, triggering the crisis between him and the Tunisian General Labor Union.

The International Monetary Fund (IMF) has been pressuring the Tunisian government to raise fuel and electricity services prices to offset the country’s budget deficit due to the rising oil prices so that the government can compensate for this deficit.