Parallel state institutions in the eastern region held an urgent meeting Thursday to discuss possible solutions to the liquidity crisis in southern region ahead of the holy month of Ramadan.
The meeting included Chief of the Administrative Control Authority in the eastern region, Abdel Salam al-Hassi; Governor of the parallel Central Bank of Libya (CBL) in Al-Bayda, Ali Al-Hibri, and Deputy Prime Minister of the interim government, Abdel Rahman Al-Ahirish.
The meeting also reviewed the implementation process of the projects launched by the interim government, most notably infrastructure projects, sewage, and security installations, as well as the supply of ration goods ahead of Ramadan.
The Libyan National Army (LNA) controlled the eastern region after it had pushed hardline militias out of the eastern city of Benghazi in 2017 in a deadly three-year battle dubbed “Operation Dignity.”
To reaffirm its military clout, the LNA quickly launched a successful operation to oust Islamist militias from the city of Derna, which had been the only part of eastern Libya out of its control.
Capitalizing on that success, the LNA forces in January launched a new offensive into the oil-rich south, ostensibly aimed at wiping out “terrorists” and criminal groups.
They quickly overran the region’s largest city and a major oil field without a fight, before turning their sights on the capital last month.
However, after taking over the south, the LNA and the Tobruk-based government that supports it now added the grievances of the south to their responsibilities, including the liquidity issue.
The interim government does not have control on key institutions; however, such as the Central Bank of Libya and the National Oil Corporation (NOC), both of which are based in Tripoli. Hence, any solutions to the south’s issue still need coordination with the GNA.
For its part, the NOC has sent a number of fuel convoys to the southern region, where the oil is often more expensive than the rest of Libya despite being its source.
Southern Libya, in general, has suffered neglect from consecutive governments since the fall of Muammar Gaddafi in 2011 at many levels until it became a safe haven for different kinds of smugglers and criminals, as well as Chadian rebels.
