Tripoli based Libyan Prime Minister, Abdel Hamid Aldabaiba, issued Circular No. (2) of 2025, today which includes a set of controls and procedures aimed at rationalising public spending on official events.
The Tripoli government says this comes within the framework of enhancing good governance and ensuring optimal management of the state’s financial resources.
Obtaining prior approval for official events
The circular stressed the importance of obtaining prior approval from the Government Communication Centre before initiating any arrangements for organising official events, by referring technical and financial offers for review, to ensure their compatibility with the state’s financial policies and control public expenditures.
Control expenses, use government sites
The circular also stressed the need to control the expenses associated with conferences, celebrations and workshop. It stressed the need for clear justifications for organising them, and to limit the use of government facilities to organise events, except in cases that require special sites, which require prior approval from the Government Communication Centre.
Reduce costs, promote digital means
In addition, the circular obliges government entities to reduce protocol costs, reduce hospitality, souvenirs and paper printing expenses, while promoting the adoption of digital means.
Provision of free broadcast signal for events
With regard to television transmission, the publication stressed that the broadcast signal will be granted free of charge to all channels wishing to transmit official events, to avoid incurring any additional costs to the organisers. It also stipulated the exclusivity of live broadcasts of events attended by the Prime Minister on the official channels of the state, to ensure the unification of official media messages.
Cost benefit assessment of events report
The circular also stressed respect for intellectual property rights in all materials used, with regulators obliged to prepare a detailed report after each event, including an accurate assessment of the benefit achieved compared to costs, to ensure that the maximum use of available resources is achieved.
Attempt to cut spending in 2022 in response to Audit Bureau criticism
It will be recalled that in September 2022, and as reported by Libya Herald at the time, Prime Minister, Abd Alhamid Aldabaiba, had announced a series of spending restrictions on operating expenses on ministries and public entities in response to the damning reports cited in the latest Audit Bureau 2021 report.
Ministerial and public entity profligacy
The Audit Report had cited several examples of ministerial and public entity profligacy on housing benefits, cars, mobile phones, laptops, clothes, meals, travel, gifts etc.
The Aldabaiba government had called the measures ‘‘rationalising operating expenses’’ and said the reason behind it was to ‘‘mobilise resources for the implementation of several strategic development projects.’’
The 900-odd page Audit Report had attracted the Aldabaiba government much criticism for failing to show sensitivity at economically harsh times and failing to prioritise spending with so many public services falling way behind standards, such as urban planning, transport, health, education, electricity etc
It will also be recalled that in January 2024 a meeting was held in the office of the Governor of the Central Bank of Libya (CBL) to follow up on government spending for the year 2024.
LD 40 billion in fuel subsidies to GECOL
The meeting, the CBL had reported, was devoted to discussing government spending controls for the year 2024, and special controls for the amounts allocated for fuel subsidies with all its derivatives for the benefit of the General Electricity Company of Libya (GECOL) or distribution companies. The CBL reported that this subsidy reached more than 40 billion dinars in 2023, which, it said ‘‘exhausted the general budget’’.
Spending controls necessary
The CBL reported that the attendees stressed the necessity of establishing the necessary controls that contribute to controlling public spending, working to improve citizens’ conditions in all aspects of living, providing appropriate conditions for them, and focusing on the development programme throughout Libya in all its aspects.
Need for fuel subsidies reform
The attendees, the CBL had added, stressed the need to disclose all government expenditures in the budget sections, and to follow up on the work of the committee formed to provide alternatives to fuel subsidies and determine the actual needs for it, as it is the most important file.
An admission of failure to control spending
Year after year, Audit Bureau Annual Reports have criticised successive governments of lack of rationalised spending and corruption. There have also been several clashes between the last two prime ministers and the CBL over profligate government spending.
The issued of Circular No. (2) of 2025 by Aldabaiba today to rationalise spending is another admission that his government is overspending with a spiralling budget and huge corruption.
It will be recalled that according to the latest Transparency International Corruption Perception Index (CPI) for 2024, Libya ranks as the 8th most corrupt country in the world. It is ranked number 173 out of 180.
CBL meeting on Tripoli government spending controls for 2024 – report and analysis
