Tripoli – Economic analyst Abdullah Al-Zaidi said that the lack of coordination between the Central Bank of Libya’s reforms and fiscal policies, amid the existence of two rival governments, limits the effectiveness of economic measures and increases pressure on the Libyan dinar against foreign currencies.
Al-Zaidi told Fawasel platform that rising public spending and its continued focus on consumption are also placing additional strain on the local currency.
He noted that actions taken by the Central Bank, such as imposing fees on the sale of foreign currency and injecting billions of dollars into banks, have failed to achieve lasting stability due to market fluctuations.
Al-Zaidi explained that the absence of a unified economic policy, combined with unstable oil revenues and a lack of diverse income sources, is worsening the foreign currency crisis and reducing the effectiveness of monetary measures.
He stressed that financial and economic stability depends on forming a unified government capable of establishing political stability, restructuring the economy, and diversifying sources of income.