US stresses importance of fully implementing its brokered Unified Development Programme agreement and establishing a unified budget

The US stressed the importance of the two Libyan western and eastern authorities implementing the unified development spending programme agreement, it had previously brokered in Tunis, and establishing a unified budget. This came after a meeting with the Hafter family in eastern Libya.

Specifically, Chargé d’Affaires Jeremy Berndt reported on the U.S. Embassy social media page: “In Benghazi yesterday, I was pleased to meet a number of key Libyan leaders to discuss ways to strengthen U.S.–Libya commercial and security ties.

We noted the importance of fully implementing the Unified Development Program agreement and establishing a unified budget to bolster financial stability, ensure balanced development spending that benefits all regions of Libya, protect the purchasing power of the Libyan people, and create the necessary conditions for international investment.

I also emphasized strong U.S. support for Libyan efforts to unify military and security institutions.

The United States will continue to encourage our partners throughout Libya to overcome divisions, unify Libyan institutions, and achieve lasting peace in order to focus on opportunities to expand prosperity for the Libyan people and their international partners.”

Loss of dinar value blamed on excessive spending by both governments
It will be recalled that the Libyan dinar has crashed in value on the black-market foreign exchange, still registering over LD 10 to the dollar – way off the target of around LD 7 dinars promised by Central Bank of Libya Governor Naji Issa at the end of last summer.

As Libya imports most of its consumption, including its food, prices have skyrocketed as a result of the crash in the dinar. This has caused a huge depreciation in the standards of living threatening to cause major political and security instability. This threat of instability was manifested in demonstrations during the fasting month of Ramadan where gunshots were heard.

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