Written by an \u201ceconomic expert\u201d: Countries typically seek to promote exports because they represent one of the most important sources of foreign currency inflows, improving the balance of payments and strengthening international reserves. For this reason, export development agencies are established and provided with resources and incentives aimed at increasing the economy\u2019s ability to generate foreign currency and raise national income.<\/p>\n\n\n\n
However, the success of any export promotion policy is not measured by the volume of goods leaving the borders, but by the amount of economic value that returns to the state and society as a result of those exports.<\/p>\n\n\n\n
In essence, exporting is an integrated economic process in which a good leaves the economy in exchange for foreign currency inflows. But if the goods leave and their financial proceeds do not return to the national economy, then one of the key objectives of exporting is lost.<\/p>\n\n\n\n
In the Libyan case, a problematic issue that requires review and evaluation emerges: the continued support and encouragement of exports in the absence of effective mechanisms that ensure the return of their foreign currency proceeds through the official banking channels.<\/p>\n\n\n\n
Goods leaving the local market without their corresponding financial returns re-entering the Libyan banking system effectively reduce the domestic supply of goods, while failing to add any new foreign currency resources to the balance of payments or international reserves.<\/p>\n\n\n\n
This situation directly affects citizens\u2019 lives, as reduced domestic supply leads to increased price pressures and higher living costs, while the expected foreign currency inflows\u2014meant to support exchange rate stability and the purchasing power of the dinar\u2014are not realized.<\/p>\n\n\n\n
The economic contradiction becomes more serious when export support activities are financed through fees and charges imposed on import operations.<\/p>\n\n\n\n
Imports, despite their demand for foreign currency, add goods and services to the local market and help meet the needs of citizens and the private sector. However, when fees are imposed on imports to finance programs that encourage the outflow of goods from the economy without guaranteeing the return of their proceeds, society bears the cost twice.<\/p>\n\n\n\n
First, through higher import costs, which translate into higher prices.<\/p>\n\n\n\n
Second, through the export of part of domestic goods without any corresponding inflow of foreign currency into the national economy.<\/p>\n\n\n\n
From here, it becomes necessary to redefine what constitutes successful export development policies in Libya.<\/p>\n\n\n\n
The real criterion is not the recorded value of exports in statistical data, nor the number of shipments crossing borders, but rather the amount of foreign currency that actually returns to the Libyan economy as a result of those exports, and the extent to which it contributes to strengthening foreign reserves, improving the balance of payments, and stabilizing the exchange rate.<\/p>\n\n\n\n
The key economic question remains:<\/p>\n\n\n\n
Have export development policies and programs contributed to increasing Libya\u2019s foreign currency revenues and strengthening its balance of payments, or have they merely facilitated the outflow of goods from the national economy without ensuring the return of their financial proceeds?<\/p>\n\n\n\n
If exports leave the local market while their proceeds remain outside the Libyan banking system, this effectively means a depletion of domestic supply, additional pressure on the Central Bank of Libya\u2019s reserves, and a decline in citizens\u2019 purchasing power.<\/p>\n\n\n\n
At that point, evaluating these policies becomes an economic and national necessity\u2014not from the perspective of export volume alone, but from the perspective of their real impact on the Libyan economy and citizens\u2019 standard of living.<\/p>\n","protected":false},"excerpt":{"rendered":"
Written by an \u201ceconomic expert\u201d: Countries typically seek to promote exports because they represent one of the most important sources of foreign currency inflows, improving the balance of payments and strengthening international reserves. For this reason, export development agencies are established and provided with resources and incentives aimed at increasing the economy\u2019s ability to generate […]<\/p>\n","protected":false},"author":13,"featured_media":257408,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[683],"tags":[613],"class_list":["post-257407","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economic-articles","tag-libya"],"acf":[],"_links":{"self":[{"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/posts\/257407","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/users\/13"}],"replies":[{"embeddable":true,"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/comments?post=257407"}],"version-history":[{"count":1,"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/posts\/257407\/revisions"}],"predecessor-version":[{"id":257409,"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/posts\/257407\/revisions\/257409"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/media\/257408"}],"wp:attachment":[{"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/media?parent=257407"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/categories?post=257407"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sada.ly\/en\/wp-json\/wp\/v2\/tags?post=257407"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}