World Bank Report Says Libyan Economy Near Collapse
The World Bank has published a report entitled ‘Libya’s Economic Outlook – October 2016’ which warns that due to low oil production, political instability and ongoing conflict, Libya’s economy is in dire straits.
The Libyan economy is near collapse as political stalemate and civil conflict prevent it from fully exploiting its sole natural resource: oil. With oil production just a fifth of potential, revenues have plummeted, pushing fiscal and current account deficits to record highs. With the dinar rapidly losing value, inflation has accelerated, further eroding real incomes. In addition to near-term challenges of macroeconomic and social/political stability, medium-term challenges include rebuilding infrastructure and economic diversification for job creation and inclusive growth.
Click here to read the full report.