An official note from Minister Anouar Maarouf to Mnakbi, which circulated on social media, indicated that Belgacem Tayaa has been appointed as caretaker until a new CEO is appointed.
Maarouf also asked to arrange a meeting of the airline board members in view of informing them of the decision.
Maarouf did not provide any reason for the revamping plan. however, he had previously lodged a complaint against six top officials of the airline including Mnakbi on corruption allegations.
Seven former and current officials of the money-losing airliner were arrested early this month following a decision by the interior ministry, Webdo Tunis reports.
Mnakbi however in an interview with local media Shems Fm refused to step down arguing that the decision is illegal and only the Prime Minister can remove him from the position.
Tunis Air is experiencing financial stress and is struggling with debts. The airline, in February last year, announced drastic measures including the laying off of 1200 employees.
Former transport minister Hichem Ben Ahmed then said the airline would reduce 200 staff employed per aircraft to 164 while the international norm is much lower at 84 agents.
The carrier operates 30 aircrafts.