The Central Bank of Libya revealed exclusively to our source that it has decided to inject $1.5 billion as an initial tranche for personal purposes, with the proposal also covering medical expenses. As part of efforts to increase dollar supply, it is expected that the personal allowance will be raised to $4,000, along with increased allocations for letters of credit to compensate for supply shortages and meet citizens’ needs for goods and services.
This comes after receiving actual revenues for April, which are expected to reach $3 billion. The bank also outlined a short-term action plan aimed at gradually strengthening the Libyan dinar to 6.90 LYD per USD.
The Central Bank of Libya stated, in an exclusive statement to our source, that its Board of Directors has approved important decisions today, which will be announced later. These decisions relate to the exchange rate, liquidity management, the mechanism for cash dollar sales, and the supply of large new quantities of foreign currency and Libyan dinars. The bank noted that these measures will have a direct impact on the exchange rate.
It added that the Board discussed exchange rate options in light of rising oil prices, improved revenues, and the unification of public spending, factors that are expected to strengthen the Libyan dinar in the coming weeks.
The Central Bank of Libya revealed to our source that its Board of Directors meeting, scheduled for tomorrow, will approve a mechanism for selling U.S. dollars in cash through exchange companies, exchange offices, and commercial banks. The mechanism will also define sales commissions and the amount to be injected into the market.
The bank added that sales operations are expected to resume at the beginning of next week, alongside the issuance of important decisions aimed at preserving the value of the Libyan dinar and reducing the exchange rate.
Our source at the Central Bank revealed, in an exclusive statement, a move toward granting exchange offices and companies an intermediary role in the cash sale of foreign currency, within the allocations designated for personal purposes.
The source explained that this step comes as part of a plan aimed at regulating the foreign exchange market and activating the role of exchange companies, in a way that helps control transactions and curb the parallel (black) market.
The Central Bank of Libya stated, in an exclusive statement to our source, that it continues to sell foreign currency allocations for personal purposes and letters of credit at the same pace as last Wednesday and Thursday. It noted that the total amount sold over the past two days reached $780 million for personal purposes and $800 million for letters of credit and transfers.
The bank also confirmed the ongoing approval of new requests and reservations, while preparing to begin cash sales of foreign currencies. It added that the mechanism and procedures regulating the sale process for personal and medical purposes will be announced soon.
The Central Bank of Libya stated exclusively to our source that following the injection of $2 billion and the arrival of cash dollar shipments, there has been a significant increase in supply in the market along with a strong wave of selling—especially with the announcement of an upcoming meeting this week of the Central Bank’s Board of Directors.
The meeting is expected to discuss and approve a number of measures related to the exchange rate, support for the Libyan dinar, and the adoption of a plan to distribute and sell cash dollars regularly throughout the year.
The Central Bank added that additional measures will also be discussed to regulate liquidity management within the banking sector.
The Central Bank of Libya confirmed exclusively to our source that it continues to sell foreign currency for personal purposes and letters of credit at an accelerated pace, noting that the gap between the buying rate and the dollar has declined to a level approaching zero.
It also stated that the agreement to unify public spending, along with the supply of cash dollars, has been encouraging and is expected to lead to a further decrease in the dollar exchange rate and greater market stability.
The Central Bank of Libya exclusively revealed to our source that it received the authorizations for disbursing March salaries from the Ministry of Finance at the end of today’s working hours.
The Bank confirmed that it will begin transferring the funds to commercial banks for execution through the “Instant Salary” system tomorrow, Thursday, April 2, 2026.
The Central Bank of Libya exclusively revealed to our source that it began today, Wednesday, April 1, resuming the sale of foreign currency to cover all approved transfer requests and letters of credit, while also continuing sales for personal purposes. Working hours on the system have been extended.
The Bank confirmed that operations are proceeding at a good pace, with extended hours through Thursday to complete the provision of $2 billion. It noted that claims about a halt or slowdown in the system are baseless, describing them as attempts by some currency traders to influence the exchange rate in the parallel market.
It added that it will continue selling $1 billion for personal purposes, and that an additional $1 billion in cash sales will begin in the coming days.
The Central Bank explained that its plan is progressing correctly, having injected $2 billion to cover letters of credit and personal demand, while preparations for an additional $1 billion in cash are ongoing. Mechanisms for the cash sale are being finalized by the working team. It expects the parallel market to stabilize at 8.50 LYD per dollar or lower before the launch of the additional cash sales, noting that overall market trends are unlikely to resist the Central Bank’s supply, even if parallel spending continues.
It further stated that, as of now, $1 billion has already been completed across letters of credit, transfers, and personal purposes, with work continuing through today and tomorrow, Thursday.
The Central Bank of Libya exclusively revealed to our source that a meeting has concluded between Governor “Naji Issa,” several commercial bank directors, and the company “Muamalat.” The meeting addressed two main topics: readiness to sell $2 billion for letters of credit and personal purposes starting tomorrow morning.
The meeting also discussed establishing a mechanism for selling foreign currency in cash and preparing an amount of $1 billion in cash to be injected as a first phase.
Our source has obtained a copy of a letter from the Central Bank of Libya addressed to the heads of commercial banks, instructing them to prepare and make the necessary technical arrangements to begin testing and updating their systems and applications. This is to enable the launch of foreign currency transfer services between accounts through the LYPay and ONEPay projects as quickly as possible.
The letter emphasized that the banks’ technical teams must communicate directly with the designated Central Bank officials for any inquiries regarding technical requirements or details:
M. Labib Shalabi – LYPay Project
M. Mohamed Lyas – ONEPay Project
Given the utmost importance of this matter, the letter stressed that it requires serious attention and will be monitored on a daily basis.
The Central Bank of Libya stated in an exclusive statement to our source that it is working on strengthening liquidity management tools in the economy and containing the money supply through non-traditional instruments.
The Bank added that it intends to introduce a “restricted deposit” instrument in Libyan dinars, which allows depositors to benefit from purchasing foreign currency as an incentive. The proposal involves locking a specified amount in Libyan dinars for one year.
It explained that individuals and companies will be granted, at the end of the year, the right to purchase foreign currency equivalent to 50% to 70% of the deposited amount at the official exchange rate. The funds can then be transferred into a foreign currency account and used or sold through transfers between local bank accounts or for external transactions, in accordance with Central Bank regulations.
The Bank illustrated that, for example, locking 100 million dinars would allow the depositor to purchase foreign currency worth 50 million dinars at the official rate (around $8 million), or up to approximately $11 million at the 70% level—providing access to foreign currency at a lower cost than the black market.
It also noted that there is flexibility to increase this percentage in the future, depending on monetary policy objectives related to controlling the money supply.
Additionally, the Central Bank indicated that this tool could be applied as an incentive for holders of unrestricted investment deposit certificates, granting them the ability to purchase foreign currency from the value of the certificate upon its annual maturity, without violating the governing conditions of these instruments.
Our source has exclusively obtained a letter from the Secretary of the Central Bank’s Board of Directors addressed to the Deputy Governor. According to the correspondence, the committee’s recommendations regarding the assessment of public debt were presented during the Board meeting for Q4, held on June 16, 2025.
The total public debt was estimated at approximately 284.19 billion Libyan dinars.
The Secretary also called for coordination with Parliament to issue a law that formally covers and regulates the size of the public debt.
The Central Bank of Libya exclusively disclosed to our source the economic bulletin for Q4 2025. The total money supply reached 203 billion LYD, while net foreign assets stood at 503.7 billion LYD, and demand deposits totaled 140.4 billion LYD.
The bulletin also showed key monetary and economic indicators: Libya’s GDP at current prices was about 390.4 billion LYD, compared to 166.4 billion LYD at constant prices, with an inflation rate of 1.8%. The exchange rate of the dinar against the US dollar was 5.416 LYD. Public revenues reached approximately 136.8 billion LYD, including oil revenues of 116.8 billion LYD, with total expenditures amounting to 136.8 billion LYD.
