Tripoli – The United Nations Support Mission in Libya (UNSMIL) stated today, Friday, that discussions by members of the economic track focused on Libya’s support system. Their second official session took place over five days, from February 8-12. Discussions also covered economic restructuring and stimulating and diversifying the private sector. They explored how to balance state-building development with ensuring economic justice.
The mission explained that members discussed rationalizing Libya’s support system. This aims to better serve citizens. It also seeks to improve long-term economic sustainability and stability. Participants reviewed the current impacts of the support system. They explored paths towards a more targeted, efficient, and financially sustainable support framework. The exchange of views emphasized the importance of a gradual and carefully sequenced approach. This approach should focus on good governance and effective social protection. It also requires measures to curb smuggling, corruption, and misuse. Participants stressed that reforming the support system must aim to protect vulnerable groups. It must also preserve social stability. Furthermore, it should ensure more transparent and equitable use of public resources for the benefit of all Libyans.
Hanaa Tetteh, Special Representative of the UN Secretary-General in Libya, attended part of the discussions. She listened to participants’ concerns about Libya approaching a critical turning point. They highlighted serious risks of social unrest if crucial corrective measures continue to be delayed. Special Representative Tetteh stated that economic reform is crucial for Libya’s progress. Daily, people suffer from the high cost of living. They also face currency depreciation and a lack of job opportunities. Libyans desire an economy that allows them to prosper. They want equal development and opportunities. “We are at a turning point in the Libyan economy,” Tetteh said. “I hope that through the recommendations of the structured dialogue members, we can highlight the importance and urgency of corrective economic measures and reforms.”
Members also reviewed Libya’s economic opportunities. They discussed the conditions needed to unlock its full potential. Discussions included ways to foster a more diversified and resilient Libyan economy. This includes a stronger role for the private sector in driving growth and employment. Participants emphasized the importance of predictable regulatory frameworks. They also highlighted improved access to finance and effective institutions. Infrastructure rehabilitation is needed to support small and medium-sized enterprises. Local value chains and emerging sectors like renewable energy, manufacturing, and tourism are also crucial.
Participants also discussed Libya’s demographic trends. They pointed to rising poverty rates and increasing pressure on the middle class. Strengthening education, providing services, and creating job opportunities are necessary. These actions will support social cohesion and resilience. They presented compelling evidence of a strong link between poverty, corruption, and structural economic distortions.
The mission added that economic track members met on the final day. They met with the Special Representative of the Secretary-General. Also present were Deputy Special Representative and Resident Humanitarian Coordinator, Ulrika Richardson. Deputy Special Representative for Political Affairs, Stephanie Khoury, was also there. Ambassadors and representatives of the Berlin Process economic working group attended. Economic track members expressed deep concern over the rapid deterioration of the economic situation. They stressed the need for immediate corrective measures. This is to prevent further social and economic decline. Members also noted the interconnectedness between the economic, security, and governance tracks.
Several ambassadors noted the seriousness of the economic situation. They expressed support for the structured dialogue’s economic track. Diplomats encouraged continued progress. They looked forward to practical and implementable recommendations. These recommendations would help alleviate current challenges, including within the political context. They also called for greater Libyan leadership in driving reform towards stability.
The UN mission stated that the economic track’s work aligns with UNSMIL’s mandate. UNSMIL uses its good offices to facilitate an inclusive, Libyan-owned and led political process. This process does not pre-determine outcomes. It fosters consensus on governance arrangements for elections and long-term stability. The mission revealed that the team will begin drafting the final document. This will happen through thematic teams during Ramadan. It will be based on discussions held so far. The group will reconvene in early April.
The mission affirmed that the structured dialogue is not a decision-making body for selecting a government. Instead, it explores tangible recommendations. These aim to create a conducive environment for elections. It also addresses urgent challenges in governance, economy, security, national reconciliation, and human rights. This strengthens state institutions and implements necessary reforms. By examining and developing policy and legislative proposals, the structured dialogue seeks to address long-term conflict causes. It also aims to build consensus on a national vision that paves the way for peace and stability.