Libya’ Central Bank (CBL) says it is facing mounting challenges in maintaining monetary stability and the exchange rate, as political instability and weak fiscal discipline continue to weigh on the economy. In a statement on Tuesday, the CBL said its Monetary Policy Committee held its first meeting of 2026, reviewing measures taken last year, developments in the economy, foreign currency use and expected challenges in the months ahead. The committee discussed tighter regulation and supervision of currency exchange activities to improve discipline and transparency in the foreign exchange market. It also examined risks linked to rising public spending and growing public debt, and their impact on foreign reserves. The bank said the committee approved a package of monetary and trade policy reforms aimed at supporting market stability, curbing the parallel market and protecting reserves.

Source: Libya Observer January 14, 2026 20:00 UTC