Libyan businessman, Husni Bey, told Libyan Express Thursday that branding the decrees issued by the Head of the Presidential Council Fayez Al-Sirraj as an economic reform package is an overstatement.
In reality, those decrees have nothing to do with any economic reform on the ground.
“I wished A-Sirraj had reaffirmed his commitment to apply these laws emanated in 2010 through the Economic Law 23/2010 and the Investment Law No 7/2010 as well as Monopoly and Anti Trust law of 10/2007.” Bey explained.
He told Libyan Express that few in office read, fewer understand and most ignore these laws as non existent.
He also said he wished Al-Sirraj lifted subsidies or reduced the price of energy and fuel to 50% of the cost, set fuel pump price at 1.250 dinars a litre
This will reduce smuggling, abuse and to compensate for the free cash allowed under the scheme released by CBL allowing every Libyan to acquire 1000 USD at the rates of 1.400 dinars, technically handing out 225 LD per capita free cash .
Bey also said, answering a question about the impact of the new rates on prices in the market: “some 10 staple commodity products making up the basic food basket of Libyan average household will stabilize at the present level .
This basket was covered by LCs or CADs at the rate of 1.400 LD/USD but all landed in the market at an equivalent exchange rate of 4.000 or above.”
“These products are wheat flour, sugar, tea, tomatoes, vegetable oil, tuna, and meet.” He said,
“All other services , consumer and capital goods such as healthcare , personal care , hygiene, electric and electronics , cars , spares , steel , furniture and household products and cement all and everything else will drop in price between a min 35% to up to 50% .” He elaborated.
Bey also indicated that all Libyans are likely to have acces to the money transfers at the new rates 3.900, which combined with the right for all citizens to acquire 1000 USD at 1.400 LD/USD.
This will barely find LDs to buy the 20 Billions offered by CBL according to the financial arrangements.