Libya’s central bank shuts down after kidnapping of official
Last week, the U.S. ambassador to Libya, Richard Norland, warned that attempts to replace the bank’s senior management with force could result in the North African nation losing access to international markets. Thus, fears of such a prospect remain high as operations have been suspended at Libya’s Tripoli-based central bank following the kidnapping of a senior bank official on August 18th, reported Reuters and agencies.
The bank authorities state that work at the institution will only resume once the kidnapped official is returned.
The central bank is the only internationally recognised depository for Libyan oil revenues, a key economic lifeline for the war-torn country split between rival governments in Tripoli and Benghazi.
The kidnapped official was Musaab Muslam, who was head of its information technology department. The bank added that it was an unknown party behind the abduction.
“The bank rejects the mob-like methods that are practiced by some parties outside of the law,” it said in a statement.
Other bank officials were also said to have been threatened, prompting the bank to suspend operations until “these practices are stopped and the concerned authorities intervene.”
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The U.S. embassy stated that Ambassador Norland had met with bank governor Sadiq Kabir to discuss concerns about armed groups assembling around the bank’s headquarters in Tripoli.
“Disputes over distribution of Libya’s wealth must be settled through transparent, inclusive negotiations toward a unified, consensus-based budget,” said the ambassador.
Libya has been thrown into instability and conflict since the NATO-led military intervention in Libya in 2011, which resulted in the overthrow of longtime dictator Muammar Gaddafi. In 2014, the country split into warring eastern and western factions.
The Government of National Unity, based in Tripoli, is led by interim Prime Minister Abdulhamid al-Dbeibah, installed via a UN-backed process in 2021.
Military commander Khalifa Haftar controls the eastern part of the country, where the national parliament is based, with the Libyan National Army.
Efforts to formally reunify institutions following a 2020 truce have failed, leaving Libya in political turmoil.
Reuters and agencies
