The Chairman of the Board of Directors of Berniq Airways Company, Wassim Al-Zawi, spoke in an interview with our source, explaining: “Berniq Airways is a Libyan joint stock company established in 2018 with a capital of 200 million Libyan dinars, and the most prominent shareholder is the Trade and Development Bank with 40%. The rest of the percentage is distributed among a group of legal entities and businessmen.”
Regarding the company’s fleet and its destinations, Al-Zawi said:
“Berniq now owns a fleet of 5 Airbus 320 aircraft and is based in Benina Airport. It also has many internal destinations from various Libyan cities as well as many external destinations. It seeks to increase external destinations and new stations before the end of the current year 2023.
Berniq Airlines is also seeking to increase its fleet of aircraft to 7 aircraft before the end of this year as well, in response to the growth in aviation in the State of Libya.”
As for the benefit of the employees of the Bank of Commerce and Development as the main shareholder in the company, he explained:
“We would like to state that there is no advantage for one shareholder over another. If we assume that a certain benefit has been granted to a shareholder in the company, the same benefit must be granted to other shareholders, as a matter of fairness and equality among shareholders.”
Al-Zawi also talked about the most prominent future projects of the company:
“The company now has a set of aspirations and new projects. The company has already embarked on a project to establish an integrated training center that includes all the training requirements and meets the training needs of the Burniq company, and why not for other airlines, whether local or even from neighboring countries.
In addition, a specialized maintenance center owned by Berneq Company has been established, and it will be a precedent in Libya, helping in the maintenance work of the company and other companies, and reducing the expensive maintenance expenses in the world of aviation.
We are also working now to open a number of new stations, most notably Dubai, Jeddah, Medina, and Amman, as well as Niamey. In the future, we will turn our attention to Europe after lifting the ban on Libyan flights.”
At the end of the conversation, the Chairman of Burniq Board of Directors spoke about the company’s financing sources:
“The company relies on its capital and operational operations to provide financing sources. The General Assembly decided in its last meeting to increase the company’s capital from 200 million to 500 million in order to face the expansion and increase of the fleet in the next stage.”
Our official source from the Central Bank denied in an exclusive statement the rumors circulating on some social media platforms about a decision by the Central Bank to withdraw some currency denominations from circulation, in particular, the 5 and 10 dinar denominations from the sixth issue, adding that these denominations are being circulated normally.
Our confidential source from the Ministry of Finance in the National Unity Government revealed in an exclusive statement the referral of salaries of Libyan embassies abroad to the Central Bank of Libya yesterday.
Previously, the Ministry of Finance had exclusively revealed to our source the details of the unified salary schedule for several sectors, including the salaries for April of this year 2023.
The sectors that will implement the unified salary schedule for April include the Ministry of Foreign Affairs and International Cooperation, the Information and Documentation Center at the Ministry of Social Affairs, the Higher Institute of Judiciary, the Government Affairs Administration, the Information and Documentation Center at the Ministry of Justice, the Real Estate Registration Service, the Industrial River Investment Authority in Benghazi, the Ports and Maritime Transport Authority, Brega Social Affairs Office, Brega Labor Office, the Analysis and Radiation Measurement and Training Center in the White Regions Planning Councils, the Planning Councils in Misrata, Wadi Al-Shatti, Jalu, Jufrah, Ajdabiya, Al-Jufra, Al-Khums, Al-Kufrah, Zuwara, Sirte, Tripoli, Ghat, Garyan, Murzuq, Nalut, Wadi al Hayaa, Benghazi, Tobruq, Al-Marj, Sebha, Zawiya, Derna, and Brega Cultural Office.
The Ministry of Finance called on all financial controllers and departments in all administrative units to pay attention when completing and preparing the salaries of employees and ensuring that they reach their bank accounts as soon as possible.
Our source had an interview with the branch manager of Sahara Bank in Misrata, Mustafa Fekrun, who confirmed that the branch offers all banking services including opening current accounts, withdrawals, deposits, and providing services for issuing local and international cards.
He also added that the bank provides a salary withdrawal service for branch customers with a value of 3,000 monthly. The only problem they face is the irregularity of receiving salaries, which causes crowding.
On Sunday, the World Bank published a report warning of the increase in public debt in Libya, which has reached a level equivalent to 126% of government revenues, at a time when overall spending on salaries has increased.
The long-term effects of rising prices and food insecurity in the Middle East and North Africa region were also highlighted in the report.
By January 2023, oil production in Libya had recovered to 1.2 million barrels per day, partially due to a 15% expansion in the non-oil sector as a result of the financial incentives offered by the authorities. However, the Bank sees the fragile security and political context as undermining the work of institutions in Libya, as armed conflicts, protests, and maintenance disruptions have hampered oil production and exports, causing the economy to shrink by 1.2% in 2022 due to restrictions related to the oil production conflict.
The Bank considered the financial policy adopted in Libya for 2022 as expansionary, with a 49% increase in overall government spending and an unprecedented increase in the public sector salary bill, specifically by 53%.
The Bank also noted the lack of transparency and unity in public finance in Libya, where there are two governments and central banks, and salaries represent 25.4% of the gross domestic product, making it the largest sector of expenditure and on an upward trend.
Our source responsible for the Libyan Islamic Bank denied in an exclusive statement the news circulating regarding a hacker attack on the bank’s system.
In a special statement, the source confirmed that the hack only affected an old receiver belonging to Techline company, and had no connection to the bank’s system and was not linked to it.
The official spokesman for the General Electricity Company, Wiam Al-Ta’eb, said in an exclusive interview with our source that the General Electricity Company is still carrying out major overhaul work at the North Benghazi station, and work has been underway for a while on the overhaul of the sixth unit, and the overhaul of the first unit will begin, and these works come within the framework of preparations of the company for the upcoming summer rush.
Al-Ta’eb added that the company is still carrying out overhaul work for the units at the Al-Ruwais station in the Western Mountain, and that the overhaul process for the stations is still continuing, just as the West Tripoli station project is still undergoing operational trials with all its four units on the public electricity network.
He also explained that within the framework of the strategic plan set by the company’s board of directors for the development of the public electricity network, it was announced that the Zliten gas station project would be signed with Elsewedy Electric and the Erbakan Company regarding the station supplied by Siemens International, and this station will be 1044 megawatts and consists of six units. ..
He pointed out, during his speech to our source, that the summer peak period will be different from the past 10 years, and the company will fulfill its promises as it fulfilled its promises during the winter season and the holy month of Ramadan, and the production is currently 8200 megawatts, and the Board of Directors seeks to reach 8700 megawatts during the coming period …
He added that the company is seeking to implement several strategic projects that support the public network and benefit as much as possible from all available resources, as the implementation of the first solar power plant in Al-Sdada area with a capacity of up to (500 megawatts) has been implemented by the French company TotalEnergies, and this comes in the context of joint cooperation between the General Electricity Company and the Renewable Energies Authority to implement the strategic plan to integrate the electric capacities produced from renewable energy sources into the public electricity network …
As for settling the conditions of the employees, he explained, saying that the company has an independent financial liability and is not funded by the public treasury and is not subject to the unified salary scale. However, a salary scale for the company has been drawn up and approved by the General Assembly, and it will be implemented soon, and the matter depends on some arrangements in the financial department of the company.
He concluded his speech by saying that the Board of Directors, when it assumed its duties, received a large legacy and many files that needed treatment, but the company placed the production file as one of the priorities for urgent treatment, and we assure all citizens that the company entered a new era and is moving forward in ending the load shedding crisis that citizens suffered from, and the summer season will be different from what Libyans experienced in past years.
The liquidity team at the central bank revealed that the liquidity situation at commercial banks’ branches is excellent and available to bank customers, and the branches are operating on a daily basis.
The team added that liquidity shipments are being transported according to the plan set during the holy month of Ramadan, through daily airlifts to bank branches in the eastern and southern regions.
According to the team, around 4 billion dinars were transferred from Mitiga airport to Benina airport in Benghazi, which greatly helped contain the liquidity crisis and eliminated the long queues outside bank branches. This is largely due to the efforts of unifying the Central Bank and the continuous cooperation and convergence between its management departments to resolve some of the difficulties faced by the banks. This convergence has created a positive atmosphere for taking further steps and progressing towards unifying the Central Bank after Eid al-Fitr.
Our source obtained exclusively a letter from the Director of the Supervision and Monetary Control Department at the Central Bank of Libya, Naji Issa, to the General Managers of banks.
The letter discussed the Central Bank of Libya’s instructions regarding granting the banks operating in Libya the authority to execute requests submitted by industrial companies in Libya for the purpose of supplying spare parts and providing consulting and maintenance services within the limits of 4% of the value of documentary credits that the company has executed during the last year with the bank in one batch or in installments in the form of direct foreign transfers, including the value of the electronic card allowed to be issued under the above-mentioned publication number 10 of 2023, according to the following conditions and controls:
1- It is a prerequisite that the industrial company is among the companies that have dealt with banks for at least a year and that it has active current accounts during that period.
2- The suppliers are committed to providing the original customs declarations indicating the entry of the supplied goods into the official ports in Libya. The declarations must be submitted to the banks within three months from the date of execution of the transfer. As for consulting services, a certificate indicating the receipt of the service should be provided.
3- The banks undertake to request the concerned companies to fill out the KYC policy implementation forms attached to the Central Bank of Libya’s Governorate Circular No. (2) for the year 2016, which was circulated in the circular numbered 12 of 2016 issued on 27/10/2016, when conducting any transactions requested by the supplier.
4- The banks undertake to exercise due care regarding any requests submitted to them for direct foreign transfers according to the regulations and instructions issued regarding anti-money laundering policies and combating terrorism financing and due care towards customers.
5- Anyone who submits forged or fraudulent documents or instruments to any bank will be held criminally and civilly liable.
The liquidity team at the Central Bank of Libya revealed, in an exclusive statement to our source, that a liquidity shipment worth 60 million dinars arrived at Benina Airport in Benghazi this evening, coming from Tripoli, for branches of Sahara Bank.
The liquidity team at the Central Bank of Libya confirms communication with the concerned bank departments to provide them with their daily liquidity needs.
This is within the framework of the Central Bank of Libya’s plan to provide liquidity in all branches of commercial banks and in all regions of Libya, as the daily air bridge continues between the regions of Libya, and the liquidity team works to transfer daily liquidity shipments to bank branches in the eastern and southern regions to enable banks to disburse April salaries, allowances for children and wives, and grant Students.
The spokesperson for the Municipal Guard Agency, Ahmed Al-Na’im, spoke to the our source about the latest developments in price control, saying: “The chamber located at Janzur Municipal Guard Officers College monitors all prices formed and provides its results in real-time to the specialized committee formed, which is currently chaired by the head of the agency, and it meets every Sunday. One of the recommendations is to issue the pricing list, which has been referred to the Prime Minister.”
He also said: “We are waiting for the pricing list to be issued, and relatively, some goods in the Libyan market have decreased in price, some of which are proportional to the citizen’s income, and some are not. This is due to the citizen’s taste, and the satisfaction with a product depends on the citizen. Some people want it at cost price, some want it at a small profit, and some can take it as it is.”
According to Al-Na’im, the problem is due to the non-activation of the price budget fund within the Libyan state, which causes a price fluctuation.
Our source obtained exclusively the report of the Banking and Monetary Supervision Department on Commercial Banks’ Uses of Foreign Exchange during the period (1/1 – 28/2/2023)
The total uses of foreign exchange by banks from 1/1 – to 28/2/2023 amounted to about $3,078,886,837 compared to $2,676,748,043 during the same months of 2022, with an increase of about $402,138,794 million, and a growth rate of 15.0%.
The letter of credits accounted for 56.3% of total bank uses of foreign exchange, personal purposes accounted for 42.4% of total bank uses of foreign exchange, while transfers accounted for only 1.3% of total uses.
The actual banks’ uses of foreign exchange for all purposes ” Million USD ”
Expense
From 1/1 to 28/02 of 2022
From 1/1 to 28/02 of 2023
Change in value
Percentage change
Letters of Credits
1,617,993,788
1,732,107,206
114,113,418
7.1
Transfers
15,512,179
42,387,668
26,875,490
173.3
Personal uses
1,043,242,076
1,304,391,963
261,149,887
25.0
Total
2,676,748,043
3,078,886,837
402,138,794
15.0
Amounts sold to banks in foreign exchange for all purposes:
Within the framework of the Banking and Monetary Supervision Department’s follow-up to the accepted purchase requests for letter of credits and remittances, submitted by commercial banks through the system for following-up requests for coverage, and foreign exchange sales for personal purposes, in accordance with the decision of the Board of Directors of the Central Bank of Libya No. (1) of 2020 regarding amending the exchange rate of the Libyan dinar and Banking and Monetary Supervision Department Circular No. (9/2020).
The total amounts of foreign exchange sold to banks from 1/1 – to 28/2/2023, through the system for following up purchase and coverage requests, and foreign exchange sales for personal purposes at the Central Bank of Libya, amounted to about $3,078,886,837 compared to $2,676,748,043 during the same months of 2022, with an increase of about $402,138,794 million.
According to the table below, which illustrates the values sold of foreign exchange by banks, it is clear that National Commercial Bank was the most bank purchased foreign exchange from 1/1 – to 28/2/2023, maintaining its first rank among the banks with relative importance of 14.7%, as the total amounts of foreign exchange used was about $452,717,358, followed by Al Yaqeen Bank with a value of $393,553,280, ahead of Al Aman Bank for Trade and Investment, which was in third place with a value of $381,211,064. Then Jumhouria Bank ranked fourth with a value of $370,523,114, then the following banks come in terms of relative importance in order: Al-Wahda Bank, Al-Nouran Bank, the Libyan Islamic Bank, the United Bank and the Sahara Bank, etc. of the banks as shown in the table below, which also contains the order in which they were Banks during the same period last year 2022.
Ranking of banks according to the total amounts sold of foreign exchange
Amounts sold to banks in foreign exchange.
(According to purpose)
“In of USD”
Second: Accepted bank requests to cover Letters of Credits and transfers, except for personal purposes, from 1/1 – to 28/02/2023: The number of companies, factories, public entities and other entities reached (855) whose applications were approved to purchase foreign exchange from 1/1 – to 28/02/2023, with a number of applications amounting to 2400 applications. Most of these applications were made to cover letters of credits, which was 2099 applications, 87.5% of the total: as shown in the following table:
Transfer type
Number of requests
Relative Importance %
Letters of Credits
2099
%87.5
Commercial Transfers
107
%4.5
Airlines Transfers
73
%3.0
Other Transfers
68
%2.8
Insurance Transfers
31
%1.3
Salary Transfers – Foreigners
22
%0.9
Total
2400
100.0 %
Banks’ requests to cover letters of credit and transfers
(According to the beneficiary countries)
The table below shows the values of banks’ requests to purchase foreign exchange by beneficiary countries from1/1 – to 28/02/2023, it is clear that 44.4% of bank transfers to cover letters of credit or other transfers were to the United Arab Emirates, whereas Turkey was in second place with a rate of 8.1%, followed by Switzerland and Tinisia with rates of 5.7 % and 5.6%, respectively.
Order
Beneficiary Country
Value in USD
Relative Importance %
1-
United Arab Emirates
860,329,014
44.4
2-
Turkey
156,098,175
8.1
3-
Switzerland
110,939,579
5.7
4-
Tunisia
109,163,426
5.6
5-
China
100,972,990
5.2
6-
Italy
86,236,403
4.5
7-
South Korea
78,558,946
4.1
8-
Egypt
51,961,063
2.7
9-
Spain
47,987,357
2.5
10-
Hong Kong S.A.R.
44,885,494
2.3
11-
United Kingdom
38,556,933
2
12-
Thailand
25,057,797
1.3
13-
Germany
24,049,384
1.2
14-
Austria
24,000,378
1.2
15-
Netherlands
22,488,141
1.2
16-
France
18,920,244
1
17-
Canada
10,256,714
0.5
18-
Japan
10,155,027
0.5
19-
Sweden
9,351,522
0.5
20-
Belgium
7,822,227
0.4
Banks requests to buy foreign exchange
(According to the countries of origin for the goods or services)
The table below shows the values of banks’ requests to purchase foreign exchange by goods or services origins from 1/1 – to 28/02/2023, It is clear that Egypt ranked first, as goods or services of Egyptian origin accounted for 18.8% of the total accepted purchase requests. Imports of goods or services of Turkish origin came in second place, accounting for 18.1% of the total, and goods or services of Chinese origin accounted for 9.8% ranked third during the period, while goods and services of Tunisian origin accounted for 6.5%, and those of Indian origin accounted for 6.0%. The following table shows twenty countries of origin for goods or services.
Order
Country of origin of goods or services
Value in USD
Relative Importance %
1-
Egypt
363,179,649
18.8
2-
Turkey
350,177,437
18.1
3-
China
189,749,218
9.8
4-
Tunisia
125,707,046
6.5
5-
India
116,333,277
6
6-
Russian Federation
112,146,618
5.8
7-
South Korea
70,454,512
3.6
8-
Italy
59,866,529
3.1
9-
Ukraine
52,963,860
2.7
10-
United Arab Emirates
49,889,553
2.6
11-
Germany
44,977,829
2.3
12-
Brazil
30,888,123
1.6
13-
Spain
30,035,510
1.6
14-
Thailand
26,353,462
1.4
15-
United States
25,227,049
1.3
16-
Argentina
24,705,475
1.3
17-
Netherlands
21,484,414
1.1
18-
Hong Kong S.A.R.
21,449,638
1.1
19-
Europe
15,590,895
0.8
20-
Belgium
14,732,632
0.8
Accepted bank requests to buy foreign exchange according to sectors
From 1/1 – to 28/02/2023
Sector
Number of companies, factories, or entities
Private Sector
806
Public Sector
23
Banking Sector
3
Foreigners (Salary Transfers)
23
Total
855
Private sector:
The number of private sector companies and factories were (806) whose requests foreign exchange to cover letter of credits and other transfers were approved, they constituded of 769 companies and 37 factories from 1/1 – to 28/02/2023. Banks’ requests to purchase foreign exchange by the private sector to import production and operation requirements ranked first among total purchase requests during the period, accounting for 13.1% of total foreign exchange purchase requests. While the requests to cover the import of raw materials for the requirements of the aluminum and PVC industry ranked second in terms of relative importance, constituting about 5.4%, whereas the requests to cover the import of durum wheat accounted for 4.0% and the import of iron 4.0% of the total, and the following table shows the purchase requests for the fifty most important commodities or services during the period from1/1 – to 02/28/2023.
Purchase orders for the fifty most important goods or services – Private Sector
From 1/1 – to 28/02/2023
Order.
Goods or services
Value in USD
Relative Importance %
1
Production and operation requirements
226,201,784
13.1
2
Raw materials for aluminum and PVC industry supplies
92,998,461
5.4
3
Durum wheat
70,042,385
4.0
4
Iron
69,510,431
4.0
5
Sugar
59,425,358
3.4
6
Electronic Equipment
55,227,492
3.2
7
Cars
45,507,474
2.6
8
Cleaning materials
42,403,960
2.4
9
Maize
41,813,600
2.4
10
Building materials
39,755,158
2.3
11
Mobile phones and their accessories
39,520,777
2.3
12
Cooking oil
38,798,903
2.2
13
Agricultural machinery
36,902,840
2.1
14
Soft wheat
33,604,278
1.9
15
Carton
31,851,906
1.8
16
Tuna
30,685,654
1.8
17
Building materials for floors and tiles
28,142,455
1.6
18
Refrigeration and Air Conditioning Appliances
26,257,955
1.5
19
Barley
24,698,000
1.4
20
Other Furniture
22,401,233
1.3
21
Miscellaneous electrical appliances
22,133,196
1.3
22
Packaging materials and papers
22,041,170
1.3
23
Soy
21,468,066
1.2
24
Tomato paste
21,438,251
1.2
25
Grilles
21,433,048
1.2
26
Biscuits, chocolate and sweet
20,580,742
1.2
27
Tires
19,796,559
1.1
28
Packaging Paper
19,731,092
1.1
29
Frozen meat
18,560,281
1.1
30
Medicine
18,242,895
1.1
31
Poultry and frozen poultry meat
17,898,930
1.0
32
Baby Milk
17,738,936
1.0
33
Cigarettes and tobacco of all kinds
16,922,227
1.0
34
Medical Equipment
16,353,690
0.9
35
Electronic Equipment
15,482,780
0.9
36
Oxes
14,453,323
0.8
37
Wood
14,373,000
0.8
38
Refractory bricks
13,859,057
0.8
39
Diapers
13,340,708
0.8
40
Feeds
12,677,855
0.7
41
Milk powder
11,936,511
0.7
42
Processed cheese
11,604,219
0.7
43
Empty cans
10,401,023
0.6
44
TV screens
10,243,601
0.6
45
Automotive Oils and Machinery
9,819,247
0.6
46
Household and Electrical Materials
9,642,229
0.6
47
Evaporated milk
8,457,337
0.5
48
Tea
8,449,779
0.5
49
Agricultural Production Requirements
7,614,107
0.4
50
Computers and Accessories
7,425,127
0.4
Purchase orders according to the fifty most important companies – Private Sector
From 1/1 – to 28/02/2023
Order.
Company or factory
Value in USD
1
Al Bonyan Company for Smelting and Rolling Metals
37,875,965
2
Almaosem Company for Food Industries and Rice Mills
34,017,845
3
Haoth Shamal Afriqyah Company for the manufacture, desalination and bottling of drinking water
26,112,400
4
Al Naseem Food Industries
23,160,384
5
Alduda Alalameyah Alola Company for Feed Industry, Flour Mills and Food Industries
21,818,420
6
Al Mamoura Alola Company for Importing Foodstuffs
19,218,104
7
Doroob Libya Company for Importing Transportation Vehicles and Accessories
17,778,785
8
Alwesam Adahabee Company for the manufacture of flour, mills, feed and rice mills
17,775,800
9
Wadi Al-Kouf Company for Mills, Feed and Rice Mills
17,293,300
10
Almotahadah Aljadeed Company for Tobacco, Cigarettes and Accessories
13,449,714
11
Badya Al Khair Company for Mills, Feed and Pasta
13,371,780
12
Bonyan Libya Almostakbal Company for importing electrical and non-electrical appliances and materials, spare parts and appliances
13,113,956
13
Al-Rayhan Company for Food Industry
12,918,756
14
Aljahez Company for Importing Foodstuffs
12,731,200
15
Thel Ateen Company for the manufacture of dairy and its derivatives
12,502,000
16
Jood Alola Company for Importing Raw Materials
12,347,628
17
Alasalla Adahabyah Company for Mills and Rice Mills
12,309,000
18
Al-Roken Company for Aluminum Industry
11,957,378
19
Al-Ikhtar Company for PVC Industry
11,744,103
20
Alrokon Alelektroni Company for the manufacture of electronic and electrical devices
11,656,554
21
Al-Raed Group Company for Importing Raw Materials
11,545,600
22
Al-Jayed Food Industries Company
11,360,165
23
Alafdal Company for Raw Materials
10,841,400
24
Adwaa Al Nayzak Company for importing electronic devices, accessories and spare parts
10,484,991
25
Al-Jayed Food Industries Company
10,401,924
26
Afaq Algad Aljadeed Company for the import of electrical and non-electrical devices and materials and spare parts
9,930,650
27
Arafeek Addaeam Company for Importing Cars and Spare Parts
9,877,170
28
Ibtahj Atabeesa Company for Importing Foodstuffs
9,770,000
29
Toyota Libya Automotive and Spare Parts Trading and Import and Export
9,693,967
30
Al-Itqan Group Company for the manufacture of cleaning materials
9,429,930
31
Lamsat Alhayah Company for importing medical equipment, medicines, medical preparations, mother and child supplies
9,406,740
32
Sama Almarai Company for Mills, Feed Industry and Rice Mills
9,130,237
33
Nibras Al-Khair Company for Feed Industry and Grain Milling
9,088,080
34
Al Sadd Company for Animal Feed Industry
8,800,000
35
Tarabulus Alkobra Company for the manufacture, packaging and packaging of tomatoes and foodstuffs
8,680,000
36
Awtar Assenaa Company for the manufacture of electronic and electrical devices
8,671,905
37
Shams Al-Watan First Company for Importing Electrical and Electronic Appliances, Accessories and Spare Parts
8,526,141
38
Al-Sawaed Company for Wood Industries
8,519,474
39
Assad Alalee Company for the manufacture of electronic devices
8,439,964
40
Tawasol Company for Paper Industries
8,167,925
41
Al Shorouq Allebyah Company for Mills and Feed
8,112,000
42
Anwar Almadenah Company for the import of electrical and non-electrical devices and materials and spare parts
8,105,267
43
Anahj Alamthal Company for Food Industries
7,871,315
44
Almosem Almotamyez Company for the manufacture of flour, feed and rice mills
7,789,839
45
Alfaeada Adahabyah Company for Food Industries
7,707,161
46
Africa Beverage Bottling Company
7,698,361
47
Sheryan Alhayah Company for Importing Foodstuffs
7,600,000
48
Asayel Libya Company for Importing Building Materials, Sanitary Materials and Accessories
7,523,260
49
Al-Rasheed Company for the manufacture of electronic and electrical devices
7,307,675
50
Almarai Alkesbah Company for Mills, Feed and Rice Mills
7,240,950
Public Sector
The number of public sector companies whose requests for foreign exchange to cover letters of credits and other transfers were approved reached 23 companies from 1/1 – to 28/02/2023. Where banks’ requests to purchase foreign exchange by the Social Solidarity Fund to supply cars for people with disabilities, ranked first in total purchase requests during the reported period, accounting for 26.3% of the total foreign exchange purchase requests, while the requirements of Libyana Mobile Phone Company ranked the second with relative importance of 25.0%, whereas requests to cover the import of production and operation requirements accounted for 22.5%. The following table shows purchase requests from 1/1 – to 28/02/2023.
Purchase orders by commodity or services – Public sector
From 1/1 – to 28/02/2023
Order.
Goods or services
Value in USD
Relative Importance %
1
General Authority for Social Insurance Fund – Supply of cars for people with disabilities
51,900,000
26.3
2
Libyana Mobile Phone Company Requirements
49,363,211
25.0
3
Production and operation requirements
44,579,436
22.5
4
General Electricity Company Supplies
8,039,172
4.1
5
Almadar Aljadeed Company
7,887,467
4.0
6
Communications and IT Services
7,689,778
3.9
7
Electronic Devices
4,333,530
2.2
8
Housing and Utilities Projects Authority
4,061,781
2.1
9
Airline Transfers
3,403,734
1.7
10
Afriqiyah Airways
2,712,739
1.4
11
Insurance Company Transfers
2,440,191
1.2
12
Port operation and maintenance requirements
2,436,025
1.2
13
Stationery
1,994,750
1.0
14
Libya Telecom and Technology Company
1,323,811
0.7
15
Social Welfare Fund
1,300,694
0.7
16
Libyan Airlines Requests
1,232,452
0.6
17
Household and Electrical
813,828
0.4
18
Building Materials and Construction Supplies
740,896
0.4
19
Operating needs of Muamalat
634,800
0.3
20
State Company for Importing Security Goods
578,825
0.3
21
Libyan Ports Company
215,939
0.1
22
Port Operating Requirements
15,112
0.0
Purchase requests by entities – Public sector
From 1/1 – to 28/02/2023
Order.
Entity Name
Value in USD
1
Libyana Mobile Phone Company
72,327,904
2
General Authority of the Social Solidarity Fund
51,900,000
3
Administrative Centers Development Authority
20,268,177
4
Almadar Aljadded Company
14,191,141
5
General Electricity J.S.C
8,039,172
6
Afriqiyah Airways
6,116,473
7
Housing and Utilities Projects Implementation Authority
4,061,781
8
Libya Company for Communication and Technology
3,148,210
9
National Cement Company
2,604,713
10
Authority for the Construction and Maintenance of Ports and Fishing Harbors
2,315,300
11
Libya Insurance Company
2,204,431
12
General Company for Paper and Printing
1,994,750
13
Libyan International Telecommunications Company
1,732,527
14
Social Welfare Fund at the Ministry of Interior
1,300,694
15
Libyan Airlines
1,232,452
16
Aljeel Aljadded Technology Company
1,123,447
17
Systems Company for Electrical Construction J.S.C
813,828
18
Muamalat Financial Services Company
634,800
19
State Company for Importing Security Goods J.S.C
578,825
20
Alenma Electric Investment Company
380,132
21
Libyan Ports Company
351,776
22
Libyan Federation of Insurance Companies
235,760
23
Misurata Free Zone
141,878
Banking Sector:
Accepted Coverage Requests – Banking Sector
From 1/1 – to 28/02/2023
“Descending order”
Order.
Bank
Value in USD
1
United Bank for Commerce and Investment
3,193,939
2
Al Andalus Bank Company
674,944
3
Alaman Bank for Trade and Investment
385,949
According to Goods and Services – Banking Sector
“Descending order”
Order.
Goods or Services
Value in USD
1
Operating expenses for Commercial banks
3,193,939
2
Al-Andalus Bank Transfer
674,944
3
Machinery and Equipment
385,949
According to Country of Origin – Banking Sector
“Descending order”
Order.
Country of Origin
Value in USD
1
Bahrain
3,193,939
2
United States
450,000
3
France
284,539
4
Canada
200,000
5
China
101,410
6
India
20,000
7
United Kingdom
4,944
According to Beneficiary Country – Banking Sector
“Descending order”
Order.
Beneficiary Country
Value in USD
1
Bahrain
3,193,939
2
United States
650,000
3
France
284,539
4
Morocco
101,410
5
India
20,000
6
United Kingdom
4,944
Foreigners (salary transfers):
Accepted Coverage Requests
Foreign Transfers – Salaries
From 1/1 – to 28/02/2023
Order.
Entity
Value in USD
1
(22) Salary transfers for foreigners
501,552
2
Flight Transfer – Transfer of surplus sales to Tunisian services
297,058
According to Beneficiary Country – Foreign Transfers (Salaries)
Order.
Beneficiary Country
Value in USD
1
Tunisia
297,058
2
Ukraine
139,716
3
Poland
116,000
4
Egypt
86,650
5
Jordan
55,770
6
Bulgaria
47,000
7
Germany
19,580
8
India
19,500
9
Italy
11,402
10
Philippines
5,934
Private Sector Appendices
Accepted coverage requests for the private sector from 1/1 – to 28/02/2023:
List of all beneficiary companies and factories
Purchase Orders by Goods or Services
Purchase orders by country of origin of goods or services and the beneficiary country.
An important meeting was held today, Friday 03/03/2023, in Tunisia, between all departments’ directors of the Central Bank of Libya, (Tripoli and Benghazi), in order to continue the unification process.
The meeting witnessed exchanging views, and many issues of common interest were discussed in a positive atmosphere. Further, the two parties agreed to hold more joint meetings in Libya.
On the sidelines of the meeting, the group participated in a workshop organized by the United States Agency for Development (USAID).
The Research and Statistics Department of the Central Bank of Libya has issued a report on the most important financial data and indicators for Libyan commercial banks for the year of 2022. The report contained deep details of financial data and indicators, in addition to a special chapter on financial soundness indicators.
The total assets of banks (excluding statutory accounts) increased from 136.0 billion dinars at the end of 2021 to about 148.5 billion dinars at the end of 2022, a growth rate of 9.2%. Liquid assets (amounting to 99.1 billion dinars) accounted for 66.7% of total assets.
The total deposits of banks (on demand and certificates of deposit) with the central bank, including the mandatory reserve, increased from about 78.6 billion dinars at the end of 2021 to about 83.4 billion dinars at the end of 2022, at a growth rate of 6.1%, of which the mandatory reserve constitutes about 20.4 billion dinars.
The total amount of credit granted by banks increased from 19.6 billion dinars at the end of 2021 to about 23.0 billion dinars at the end of 2022, at a growth rate of 17.0%. Loans and credit facilities granted to total deposit liabilities constituted 22.5%, while they accounted for 15.5% of the total assets. The balance of loans granted to the private sector amounted to 15.5 billion dinars at the end of 2022, representing 67.6% of the total credit facilities granted, while the balance of loans granted to the public sector accounted for the remaining 32.4%, amounting to about 7.5 billion dinars.
The coverage ratio of doubtful debts to the total loans and facilities granted reached 16.8% in 2022, compared to 18.7% in 2021.
Customer deposits at banks increased from 92.1 billion dinars at the end of 2021 to 102.1 billion dinars at the end of 2022, an increase of 10.8%. Demand deposits accounted for 81.7% of total deposits, while time deposits accounted for 17.9% of total deposits. Savings deposits accounted for only 0.3% of total deposits.
Regarding the distribution of these deposits, private sector deposits amounted to 58.8 billion dinars at the end of 2022, representing 57.6% of total deposits, while the balance of public and government sector deposits amounted to 43.3 billion dinars, representing the remaining 42.4%. Of this amount, 31.1 billion dinars were deposits for public sector companies and institutions, while around 12.2 billion dinars were government deposits.
The total equity of banks increased from 7.5 billion dinars at the end of 2021 to 8.6 billion dinars at the end of 2022, with a growth rate of 13.3%.
The banks’ profits decreased by 29.4% during 2022, reaching 849.7 million dinars, compared to around 1,176.9 million dinars in 2021.
The return on total assets decreased to 0.6% in 2022 compared to around 0.9% in 2021, as a result of the decrease in profits during 2022.
The overall capital adequacy ratio of banks collectively recorded about 15.7% at the end of 2022, down from about 16.6% in 2021. This is due to the increase in the size of risk-weighted assets, which grew at a higher rate than the growth in capital base. Overall, this ratio is higher than the ratio set by the central bank and compliant with the requirements of the Basel Committee.
The number of banks included in this report was 20 banks (including the Libyan Dinar Unit of the Libyan Foreign Bank) at the end of 2022, and these banks operate through 580 branches and agencies.
The British newspaper, The Sun, reported on Sunday that Scottish police have been ordered to double their efforts to search for billions of dollars stolen using fake building contracts by officials in the regime of Muammar Gaddafi.
According to the newspaper, the Prime Minister appointed by the Parliament, Fathi Bashaga, has called on the Scottish authorities to “double their efforts” to search for the billions of dollars stolen from the Libyan state.
The newspaper continued by saying that nearly a decade has passed since the British office agreed to assist Libya in finding the huge amounts allocated for hospitals, education, and housing that were lost in the fake building contracts that included deals with Scottish companies in the 1990s.
The newspaper pointed out that this investigation conducted by Scottish police is understood to be the largest of its kind in several years, where more than 20 Scottish limited partnerships were used as a means to launder money from Libya.
The newspaper confirmed that investigators also found evidence indicating that dozens of properties across Scotland and England, including a luxury country house in Chelsea, were involved in the scheme according to the newspaper.
