Exclusive: Central Bank Governor to Parliament’s Budget Committee Rapporteur: We Cannot Comment on the 2025 Budget Draft… and Here’s Why

Our source has exclusively obtained a letter from the Governor of the Central Bank of Libya, Naji Issa, addressed to the Rapporteur of the Planning and General Budget Committee in the House of Representatives. In it, the Governor asserted that the Central Bank is unable to provide comments on the 2025 budget draft, stressing the need to reconsider the proposal and consult with the Central Bank and other relevant state institutions before its approval.

The Governor explained that established practices — in accordance with laws such as the Banking Law (Article 5, paragraphs 3, 4, 5, and 6) — require consultation with the Central Bank during the preparation of the general budget. Sending the draft budget law in its current form and requesting feedback within three days does not fulfill the goals or principles of meaningful consultation with the Central Bank, nor does it result in a budget that the Central Bank can implement.

He further noted that effective and practical consultation must address the fundamental elements of the general budget — most importantly, the need to adopt a unified budget as a prerequisite for controlling and consolidating public expenditures. Advance consultation is also necessary, he added, given that the country is already in the second half of the fiscal year. This requires taking into account the revenues collected and expenditures made during the first half of the year, as well as the actual revenue and spending estimates — a crucial aspect that was neglected in the submitted draft.

The Governor also revealed that he has begun directly addressing the Speaker of the House of Representatives to clarify the reasons behind the Central Bank’s inability to comment on the proposed budget.