The governor’s director office at the Central Bank of Libya, Abdulatif Al-Tounsi, claimed that “Under the circumstances of oil blockades, which represents the country’s main source of income, the financial arrangements for 2020 should be reduced to a minimum of 35 billion dinars.”
Al-Tounsi clarified that the solution the Government must immediately take is to reduce public expenditures to the lowest levels.
Hence, it should limit itself only to 2020 financial arrangements related to the necessary and inevitable expenditures, such as the minimum wages and salaries, the minimum operational expenses, as well as being limited only to development programs and projects, like paying expenses for students studying abroad.
He also confirmed that Libya’s Central Bank presented a proposal to the government regarding the financial arrangements for 2020 so that the public expenditure in this stage will not exceed 35 billion dinars, instead of the government’s 50 billion dinars suggestion.
Libya’s Central Bank suggested some other measures too, the most important of which is limiting the basic salaries’ payments, suspending rewards and extra work allowances in an exceptional way this year.
“We also called for the gradual or total removal of subsidies on fuel and electricity”, he emphasized.