Libya Approves First Unified Budget in Over a Decade

Libya Approves Unified State Budget After Years of Division

A rare moment of cooperation has been achieved in Libya’s fractured politics, with the country’s rival legislative bodies approving a unified state budget for the first time in over a decade. The Central Bank of Libya confirmed that both chambers, the House of Representatives and the High Council of State, have endorsed the agreement.

Governor Naji Issa stated that the approval marked a step towards restoring financial stability after prolonged division. “This is a clear declaration that Libya is capable of overcoming its differences when a unified vision for its future is forged,” he said during a signing ceremony in Tripoli.

The agreement brings together two institutions that have long competed for authority, representing different regions of the country. The deal was signed by representatives from both sides in the capital, where the internationally recognized Government of National Unity is based.

Libya’s rival administrations have been divided since the 2014 civil war, which created separate governments in the east and west. The last time the country operated under a single national budget was in 2013. The agreement underscores Libya’s growing importance in global energy markets, with demand for its crude increasing amid disruptions linked to regional conflicts.

The timing of the agreement coincides with Libya’s strategic location, which offers a critical advantage in oil shipments to European refineries. Previous attempts to stabilize the country’s energy sector have relied on informal arrangements rather than institutional agreements. The new budget deal signals a shift towards more formal cooperation, despite ongoing political fragmentation.

Source: Al Jazeera