The Ministry of Economy and Industry submitted its proposal to the Presidential Council on replacing the in-kind fuel support with monetary support.
The ministry confirmed that this step would achieve advantages represented in the principle of justice in distribution, guarantee the support to its intended beneficiaries, and rationalize consumption by about 30% to 40%.
In addition, it aims to eliminate the incidence of smuggling and fuel leakage channels to the least extent possible, as well as to decrease foreign exchange fuel purchase bill by about 25%.
Based on its questionnaires, the ministry pointed out that citizens are convinced that the in-kind fuel support
The ministry also confirmed that this matter comes within the framework of the implementation of the economic reform program approved by the Presidential Council, as well as the agreement signed between the Presidential Council, the Supreme Council of State and the Central Bank of Libya, which states that the Ministry of Economy and Industry will submit a proposal for the fuel support system program.
It revealed that the current support system is distorting the national economy because there are about 40% fleeing outside the borders, in addition to the price distortion caused by the support system.
It should be noted that the proposal is pending until a decision will be taken.