Educational policies in Tunisia and some other Arab countries seem ineffective in combating social inequalities and economic gaps at the local and regional levels. This paper will explore the extent to which Arab educational policies reflect the social and economic needs of local communities and the policy changes that should be made in order to foster economic development and social equality. The paper presents data testifying to a sharp mismatch between educational policies in many Arab countries and the needs of their national job markets. This mismatch has led to increased unemployment rates in the region, especially in Tunisia, and contributed to social and economic decline in many parts of the Arab world. The findings presented are accompanied by a concise list of possible solutions that may strengthen the ties between educational plans and real economic and social needs.