The head of the Accounting Department at the Libyan Academy, Dr. Abu Bakr Abu Al-Qasim, wrote an article titled: “Are the Hypotheses of Untraceable Spending and Currency Printing Resurfacing?”<\/p>\n\n\n\n
He stated that the Central Bank of Libya (CBL), caught between a policy of monetary flooding and restriction, stands alone in confusion over this abnormal and economically unjustified situation.<\/p>\n\n\n\n
The CBL\u2019s statement on March 12 revealed that foreign currency sales from March 1 to March 12 alone exceeded 1.7 billion dollars, evenly split between personal spending cards and annual credit allocations. This staggering figure, along with previous reports showing a demand exceeding 6 billion dollars in less than three months, raises serious concerns about the sources fueling this excessive and illogical demand.<\/p>\n\n\n\n
Abu Al-Qasim questions whether currency is being printed outside the monetary system’s control\u2014possibly even outside Libya itself\u2014thus driving the surge in foreign currency demand.<\/p>\n\n\n\n
The Central Bank now faces a dilemma: Should it continue flooding the market to stabilize the dinar\u2019s value, or implement restrictions that could lead to a rise in foreign currency rates against the struggling Libyan dinar? The latter could have severe repercussions on inflation and the cost of living.<\/p>\n\n\n\n
He warns that the situation is extremely serious and requires collective action. The CBL must not be left to fight alone in its battle to preserve the dinar\u2019s value.<\/p>\n\n\n\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
The head of the Accounting Department at the Libyan Academy, Dr. Abu Bakr Abu Al-Qasim, wrote an article titled: “Are the Hypotheses of Untraceable Spending and Currency Printing Resurfacing?” He stated that the Central Bank of Libya (CBL), caught between a policy of monetary flooding and restriction, stands alone in confusion over this abnormal and […]<\/p>\n","protected":false},"author":13,"featured_media":253305,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"iawp_total_views":0,"footnotes":""},"categories":[683],"tags":[628,617,613,908],"class_list":["post-253304","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economic-articles","tag-central-bank","tag-currency","tag-libya","tag-spending"],"acf":[],"yoast_head":"\n