UN Holds Talks in Tripoli to Resolve Libya’s Central Bank Crisis

The United Nations said it held talks between Libya’s rival governments on Monday in an attempt to resolve a crisis at the country’s central bank that has triggered a blockade of oil production and exports from the OPEC nation.

Libya’s eastern and western administrations have been locked in a standoff over the leadership of the bank, the custodian of billions of dollars of energy revenue. Eastern authorities ordered a freeze of the nation’s oil after the Tripoli-based internationally recognized government in the west replaced the bank’s Governor Sadiq Al-Kabir over a week ago.

The United Nations Support Mission in Libya said the consultations held in Tripoli ended with “significant understandings” between the two sides on how to address the central bank crisis “and restore the confidence of Libyans and international partners in this vital institution,” according to a statement.

They agreed to submit a draft agreement to their “respective Chambers” for review, with the aim of finalizing and signing an agreement on Tuesday.

Libya was pumping about 1 million barrels a day of oil before the halt order on Aug. 26, with the vast majority of that coming from the east. Daily output plunged to about 450,000 barrels in the past week. The country holds Africa’s biggest proven oil reserves, but output has often been held hostage to political rivalries ever since the toppling of dictator Moammar Al Qaddafi in 2011.

The UN had previously helped broker a political agreement between Libya’s eastern and western governments in 2021.

Source:norvanreports.com