Former Deputy Governor of the Central Bank of Libya, Ali Al-Hebri, revealed today in a special interview for “Flusna” program that by the end of this year, “we are expected to face what is called a ‘twin deficit’ – a deficit in the balance of payments and the budget, which will affect the exchange rate.”
Al-Hebri added that the exchange rate will be in serious danger, and the Central Bank of Libya must carefully and seriously consider the exchange rate and take specific steps. He pointed out that the Central Bank cannot change the exchange rate because there is no board in the central bank; it is essential that the Central Bank’s board of trustees consists of 9 individuals, which is currently not available.
Regarding his dismissal from his position, the former deputy said: “I objected to the way I was dismissed, did not like it, and I will not cling to the position. It is not in my nature.” He also mentioned that he is ten times happier than he was in the job.
Ali Al-Hebri emphasized during his interview with the host Ahmed Sanussi that commercial banks need reform for 7 to 10 years, describing the banking sector as ‘backward.’
As for the closure of the clearing system, Al-Hebri added: “I have no response to the Central Bank Governor, Seddiq Al-Kabeer, regarding whether the clearing system is open or closed. The International Monetary Fund and Deloitte and the whole world know that the clearing system is closed. As long as there is a twin deficit, the situation is serious, and there will be an increase in the exchange rate. I do not know if the clearing system is open today or not.”