Who protects officials’ pockets and drains citizens’ wallets? The story of taxes that disrupted the market and sparked anger!

In a country groaning under rising prices and collapsing purchasing power, tax decisions no longer appear to be an economic solution. Instead, they have become a new symbol of chaos and contradiction in the management of public finances.

Amid conflicting statements, decisions passed behind closed doors, and an exchange rate that changes without any clear vision, the Libyan citizen once again finds themselves alone in facing the consequences—paying the price from their daily sustenance—while officials trade accusations among themselves.

The situation began when the House of Representatives demanded to summon the Central Bank governor over the tax imposed on foreign currency sales—a tax originally approved by the same body. Meanwhile, Member of Parliament and Head of the Economy Committee, Badr Al-Nahib, proposed imposing taxes on goods and luxury items, in a scene reflecting stark political and economic contradiction.

The outcome was yet another adjustment of the exchange rate to 6.30 dinars per dollar, alongside the cancellation of the 15% tax—effectively returning the rate to its previous state, with and without the tax at the same time. This coincided with the imposition of taxes on goods and services, a move denied by several parliamentarians despite being implemented in practice, the opening of letters of credit at new rates, and the removal of Al-Nahib from the Parliament’s Economy Committee.

The tax structure included:

• 0% on essential goods, excluding government transfers and development projects
• 7% on sugar for all uses, non-food raw materials, iron and steel, soap manufacturing, tea, coffee, cocoa, spices, rice, fruits, vegetables, and sugar for consumption
• 12% on food items, cleaning products, soaps, bleaches, disinfectants, baby diapers, cosmetics, books, stationery, paper, and car spare parts and accessories

Higher taxes included:

• 25% on nuts, chocolate, fish, clothing, shoes, and furniture
• 15% on aviation
• 25% on services, household appliances, and cars under 20 horsepower
• 30% on cars between 20–30 horsepower
• 35% on cars above 30 horsepower, as well as jewelry, gold, precious metals, pet food
• 40% on tobacco and cigarettes

The public did not remain silent. A wave of anger swept across social media, with hashtags calling for urgent elections to end what they described as the chaos of “irresponsible officials” and to stop the depreciation of the Libyan dinar. This comes amid rising prices, worsening living conditions, and the absence of any official body willing to clearly explain what is happening.

Some have even warned that this trajectory could open the door to serious security tensions if a swift and fundamental solution to the ongoing collapse is not presented.

The biggest paradox is that information confirmed the Ministry of Economy under the Government of National Unity was the first to adopt this decision—the same ministry that previously failed to regulate cooking oil prices. How can citizens be expected to trust a ministry that could not stabilize a basic commodity, yet now leads the imposition of taxes?

Even more striking, the Government of National Unity quickly issued a statement rejecting the tax decisions made by the House of Representatives—despite the Ministry of Economy being under its authority. Was the government unaware of what its own ministry had done? Or has the ministry begun issuing, canceling, and deciding policies independently of the government?

The Libyan street continues to ask, with growing urgency: why are taxes imposed solely on citizens while official and parallel spending continues without limits or oversight?

Why are people asked to tighten their belts while embassy expenditures, privileges, and high salaries of officials—unchanged despite failing to improve services or the economy—remain untouched?

Why is the bleeding not stopped at its source? Why are reckless spending channels within the Government of National Unity not frozen? Why are letters of credit not halted? Why is the chaos of decision-making within the Ministry of Economy not confronted? And why does the House of Representatives not bear full responsibility for decisions issued in its name?

Why is the citizen always summoned to the payment line whenever policies fail and decisions collapse, while waste remains protected by networks of influence, and both official and parallel spending continue without ceiling or accountability?

Does true financial justice not begin with dismantling corruption, stopping wasteful spending, and holding centers of power accountable—before imposing new taxes on citizens?