Egypt Endorses Libyan Agreement to Resolve Central Bank Crisis

Egypt has welcomed the recent agreement between Libya’s House of Representatives and the State Council aimed at resolving the Central Bank crisis. The United Nations facilitated this accord, leading to the appointment of Naji Mohamed Issa Belqasem as the Central Bank governor. The Egyptian Foreign Ministry expressed hope that this milestone will foster stability in Libya and reaffirmed Egypt’s commitment to supporting Libyan efforts alongside international partners.

On September 30, 2024, Cairo expressed its approval of the accord reached between the Libyan House of Representatives and the State Council, a process which was facilitated by the Acting Head of the United Nations Mission in Libya. This agreement seeks to resolve the ongoing crisis surrounding the Central Bank of Libya. A significant outcome of the negotiations is the appointment of Naji Mohamed Issa Belqasem as the new governor of the Central Bank. In a statement, the Egyptian Foreign Ministry conveyed optimism that this constructive development will bolster efforts aimed at restoring stability throughout Libya. Furthermore, Egypt reiterated its dedication to supporting these initiatives in collaboration with regional and international allies, with the goal of empowering the Libyan people and realizing their aspirations. Over recent months, Libya has faced challenges regarding the appointment of a new Central Bank governor, amid ongoing tensions between the Tobruk-based administration under Khalifa Haftar and the Tripoli-based government led by Abdul Hamid Dbeibah. The impasse has resulted in significant interruptions to oil production in the nation, adversely affecting global markets and contributing to a rise in oil prices internationally. To facilitate dialogue and negotiation, the United Nations has organized multiple meetings and discussions aimed at reconciling the differing factions and reaching a sustainable agreement.

The agreement between Libya’s House of Representatives and State Council is a crucial step towards mitigating the financial crisis that has enveloped the Central Bank of Libya. Recent political divisions have led to the disruption of key economic functions, particularly in the oil sector, which is central to Libya’s economic stability. The contention revolves around the legitimacy and governance of the Central Bank, with rival factions struggling for control, thereby impacting oil production and global oil prices. The involvement of the United Nations highlights the international community’s commitment to fostering peace and stability in Libya amid ongoing political turmoil.

In summary, the recent agreement between the Libyan political factions signifies a pivotal moment in the efforts to address the Central Bank crisis and restore economic order in Libya. The appointment of Naji Mohamed Issa Belqasem as governor is anticipated to pave the way for greater stability. Egypt’s supportive stance reflects a broader regional commitment to assist Libya in achieving recovery and stability, as the country continues to navigate the complexities of its political landscape.

Original Source: www.egypttoday.com