The President of the General Union of Chambers of Commerce, Industry, and Agriculture, Mohammed Al-Raaidh, emphasized in a speech delivered on the sidelines of the Libyan Economic Forum’s opening in Tripoli on Tuesday, that the Libyan economy urgently needs fuel subsidy reform and a reduction in smuggling operations.
During his address, attended by the Prime Minister of the Government of National Unity, Abdul Hamid Dabaibah, Al-Raaidh added that electricity subsidies have witnessed excessive increases coinciding with a nearly fivefold surge in consumption. He also warned against the continued excessive consumption of water, noting that each cubic meter costs the state approximately five dinars.
Al-Raaidh clarified that finances are the root of the conflict in Libya, stressing the necessity of implementing economic reforms based on a governorate system.
He also commended the role of the private sector in contributing to drying up sources of corruption, pointing out that excessive subsidies and the currency exchange rate disparity constitute a burden on the economy.
Al-Raaidh indicated that the suffering of citizens from the economic situation stems from their complete dependence on the state, a result of an educational policy he described as “flawed,” which led to random employment in the public sector.