Combine the figs and water in a medium saucepan. Bring to the boil and cook, stirring, for 5-7 minutes or until figs are tender and almost all of the liquid has evaporated. Remove from the heat and stir in oil, vinegar, herbs and cayenne pepper. Add olives and garlic and mix well. Season with salt and freshly ground black pepper to taste.
Cover and refrigerate for 4 hours or overnight to allow flavours to develop.
Place cream cheese on a serving platter and spoon tapenade over. Sprinkle with toasted walnuts.