Libya’s Central Bank Governor Calls for Unified Government

Sadiq Kabir, the governor of Libya’s central bank, announced the devaluation of the dinar currency and urged the approval of a new unified government by the parliament’s speaker, intensifying his dispute with Prime Minister Abdulhamid al-Dbeibah in Tripoli.

The disagreement between Kabir and Prime Minister al-Dbeibah revolves around the extent of spending by the internationally recognized Government of National Unity (GNU), which lacks recognition from the eastern-based parliament.

Under the new rate, the dinar will range between 5.95-6.15 dinars to the dollar, with associated fees expected to generate approximately $12 billion in revenue. This revenue is intended to alleviate public debt and finance developmental projects, according to Kabir.

Kabir’s decision follows months of the dinar’s decline against the dollar, attributed by Kabir to unauthorized spending by state institutions. He advocates for a unified national budget to address these financial challenges and stabilize the economy.

Source: Reuters