Libya Central Bank re-established after 10 years

The Central Bank of Libya reunified on Sunday following a decade of inactivity as a result of the ongoing civil war which saw two administrations set up in the country.

This announcement followed a meeting organised between Governor Sadiq Al-Kabir and Deputy Governor Mari Muftah Rahil in Tripoli.

The Central Bank of Libya had been split since a separate bank was established in the east of the country following Libya’s division in 2014.

Prime Minister Abdul Hamid Al-Dbeibeh of the Government of National Unity (GNU) welcomed the decision and urged for greater unity. “I welcome the announcement of the Governor of the Central Bank of Libya and his deputy to unify the institution of the bank, and I urge them to continue their efforts to address the problems arising from the previous division,” he said on X.

The decision received international praise with the United States saying it was “a step critical to #Libya’s economic stability and development. This show of unity sets an important example for reconciliation across all state institutions to build the groundwork toward elections.”

The United States welcomes the announcement of the reunification of the Central Bank of Libya (CBL), a step critical to #Libya's economic stability and development.  This show of unity sets an important example for reconciliation across all state institutions to build the… https://t.co/8OkoitLSMd

— U.S. Embassy – Libya (@USEmbassyLibya) August 20, 2023

Despite Libya having a plentiful oil supply, it has been unable to profit off this following instability caused by the NATO-funded ousting of Muammar Gaddafi in 2011. The reunification of a central bank is therefore a step towards domestic stability for Libya.

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