Abdelmajeed Braish

Some of you may have noticed that there is a tendency supported by some foreign countries and some Libyan parties to hand over the country’s administration and its resources to foreign tutelage under the pretext of transparency, and disclosure of the country’s income from the sale of crude oil and its products. 

Expenses from importing materials in hard currency and local government expenses in Libyan dinars.

To this day, we do not find any clear position or official statements in this regard, whether from the executive, legislative or supervisory authority.

his matter is very dangerous and did not happen in the history of Libya except during the era of Italian colonialism and for a short period that was under the tutelage of the English after World War II.

I am not sure whether the above concerned authorities are aware of the sensitivity of the situation and the danger that threatens the country if this matter is achieved, and all branches of the state such as the executive, supervisory and legislative institutions, most of which are responsible before the law, the judiciary and the Libyan society sooner or later for neglecting the matter and betraying the integrity of the job and leaving state funds managed by external parties and not taking any serious stance to stop these violations.

We have seen how these similar events have led to outside parties stealing billions of billions, as happened in Iraq under the US administration, and we have seen more recently in relation to Afghanistan allocating its foreign currency reserves frozen in US banks to the victims of war. The September 11 bombings by the United States, although the government of Afghanistan and its citizens had nothing to do with it.

This similar and proposed development in Libya is very dangerous and all Libyans must peacefully protest these violations against the Libyan state and demand the Libyan supervisory and legislative bodies to intervene to thwart the implementation of this proposal.

Libya does not need to entrust the management of its foreign reserves or expenditures to foreign tutelage in the name of transparency or in the name of the contrived term (food for oil).

The other dangerous development and I think this was a prelude to the above development that it became easy to obtain these funds, and this development relates to the proceeds of the sale of crude oil that are usually deposited in the central bank, but now, more than in the past months, and at the instigation of the management of the National Oil Corporation, to keep Revenues from oil sales in the Libyan Foreign Bank under the pretext of transparency.

This behavior is very dangerous for the following reasons:

1- A foreign bank is considered a legal commercial capacity and not a sovereign entity, even if it is wholly owned by the Central Bank of Libya, and any party that has demands on the Libyan government and its institutions can seize through international courts the deposited funds. 

In the foreign bank including oil revenues, the balance sheet of this bank is also very weak and suffers from deteriorating assets, capital efficiency and lack of allocations to the bad and doubtful debt portfolio. 

Claim abroad or seize his money, the country’s reserves are safe with the Central Bank but not to the same extent with the Libyan Foreign Bank as these funds are exposed to great risks as explained above.

2- There are unconfirmed rumors that the crude oil revenues deposited in the Libyan Foreign Bank are currently used by the National Oil Corporation in contracts for barter mechanisms for import requirements of gasoline and diesel, and possibly other materials. 

If this is indeed the case, a great deal of transparency is immediately required about the pricing mechanism and other terms, such as how the contract and the laws on which the swap contracts are based, are not subject to any independent scrutiny outside the NOC. .

For these reasons, we are addressing and calling on the regulatory and legislative authorities to stop this behavior, scrutinize it, and hold those behind it accountable and legally accountable for changing the procedures followed and with any legal authorization they have for this change.

The Central Bank of Libya, and if more transparency is required in the event that the meetings of the Board of Directors of the Authority are not held. 

A central bank, legislature, or central bank can designate an international accounting office to audit oil revenues and expenditures paid from central bank accounts and release them monthly to the public.

Everyone who is familiar with these developments in Libyan society is bewildered by the confusion in the procedures followed in government agencies, many of which are illegal and without official permission, which has led to the suspension and investigation of many government officials from work.

The incompetence of members of the executive and legislative body and the advisors surrounding them for not understanding these serious issues and their repercussions on the Libyan nation and society is very worrying, and every Libyan citizen should immediately resort to peaceful protest to confront such issues. 

A criminal act against Libya and the Libyans.



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