Benghazi – The House of Representatives said that shifting from subsidizing goods to direct cash subsidies is among proposed reform options under study to address Libya’s ongoing economic imbalances. The statement emphasized that this does not mean an immediate cancellation or replacement of the current subsidy system. No decision will be made until all necessary studies are completed, requirements are met, and safeguards are in place to protect citizens’ rights and living standards.
In a statement issued Friday regarding a consultative meeting on Libya’s economic crisis, the House explained that the meeting was held last Wednesday. It was initiated by the National Planning Council and instructed by House Speaker Salehin Abdelnabi. A group of experts in economics, finance, and oil participated to discuss the consequences of the crisis on living conditions, public finances, and the future of Libya’s economy.
The statement noted that the Speaker warned about the seriousness of the crisis and its immediate impact on people, citing rising inflation, declining purchasing power, and increasing burdens on Libyan families, especially those with limited incomes. He stressed the need to resolve issues related to fuel subsidies and reduce the depletion of public resources.
The Speaker tasked the expert team with preparing practical studies and plans to correct economic imbalances. He called for effective mechanisms to control the import and distribution of fuel, ensure supplies reach actual consumers, and limit waste, smuggling, and exploitation to safeguard public funds.
The meeting also discussed reforming the subsidy system to guarantee aid reaches eligible citizens and address deficiencies within the current framework. Proposed solutions should not harm essential rights or add extra burdens on citizens. Participants reviewed various options for correcting associated financial and economic problems.
The House of Representatives stressed that protecting citizens and guaranteeing fair benefits from public resources remain central to any economic reform effort. The proposal to shift from goods subsidies to cash assistance is under review only, not a final decision to change or abolish subsidies.
The statement said any move to introduce this reform depends on completing technical and economic studies, ensuring necessary safeguards, and confirming state institutions’ readiness to deliver benefits to the intended recipients. This process should protect purchasing power and prevent any negative impact on living standards.
The House concluded by calling for a transition from diagnosing economic problems to developing practical and implementable solutions, under an integrated national vision aimed at ensuring economic stability, the protection of citizens’ rights, the preservation of public resources, and the foundation of a more sustainable and efficient Libyan economy.