The Central Bank of Libya (CBL) today welcomed the signing of the Unified Development Programme Agreement between the House of Representatives and the High Council of State, considering it an important national step towards strengthening financial stability and unifying development efforts throughout Libya.
The CBL affirmed its full support for this agreement, which it said embodies the spirit of shared responsibility, reinforces the principles of transparency and governance, and establishes a clear framework for unifying spending channels and allocating funds to development projects.
This, it added, will positively impact the economy by directing resources towards productive investment in sectors such as infrastructure, education, and health, thereby boosting economic growth and improving social conditions. It also contributes to achieving economic stability and ensuring equitable resource distribution and sustainable development.
This measure is a proactive and necessary step to protect the macroeconomy from larger crises, which the Central Bank’s Board of Directors had previously warned against.
The CBL said it also appreciates the provisions of this agreement and affirms its full readiness to implement its assigned tasks in accordance with applicable legislation.
The CBL reiterated its commitment to working with all national stakeholders in a spirit of cooperation and coordination to ensure the success of this agreement and the achievement of its objectives in serving the nation and its citizens.
Early domestic and international reaction
While the head of the Presidency Council Mohamed Menfi and the head of the High State Council Mohamed Takala both welcomed the agreement, critics noted how the agreement was signed in the shadows and announced suddenly.
They complain that the agreement’s headlines and details are vague and unknown without sufficient knowledge of its details, obligations, or even its main points.
They also criticise it as being signed by individuals rather than through institutional processes.
The agreement is supposed to unify spending in the west and east of Libya and reduce the runaway expenditure that is causing a huge, accumulating hard currency deficits, inflation, and high cost of living.
On the international front, Chargé d’Affaires Jeremy Berndt said “The U.S. Embassy to Libya joins Senior Advisor Boulos in welcoming the signing of a unified development program agreement today in Tripoli. Important step for stability, prosperity, and unity in Libya, and to strengthen the vital role of the Central Bank of Libya.”
