Khazri, who was a Sunderland player from 2016-18, breezed past Raphael Varane before showing great composure to poke the ball past Les Bleus goalkeeper Steve Mandanda.
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You've got to give great credit to Khazri, what a goal… what a great goal," Tony Cascarino said on commentary for talkSPORT.
The Education City Stadium erupted as the goal gave Tunisia a great chance of pulling off a miracle second-placed finish in Group D.
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But just moments after Tunisia took the lead they slipped down to third in the group with Mathew Leckie giving Australia the lead against Denmark in the other Group D match, meaning the Socceroos moved back into second.
The Melbourne City forward ran almost half the length of the pitch and twisted and turned Joakim Maehle before calmly finishing beyond Kasper Schmeichel.
To add insult to injury for Tunisia Khazri was later taken off having been challenged by France full-back Axel Disasi in the act of scoring the goal, the player receiving treatment from Tunisia's physio after coming off the pitch.
It appeared Antoine Griezmann had equalised for Didier Deschamps' men in the eighth minute of stoppage time, however, the goal was eventually chalked off for an earlier offside.
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Tunisia sealed a stunning win but it wasn't enough to put them through as Australia held on for their 1-0 win to claim that much sought after second spot.
It's a win that Tunisia fans will never forget but right now it will be scant consolation as their team's journey in Qatar has come to an end.
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