Libya, strategically located on the Mediterranean and in close proximity to Europe, continues to navigate economic and political challenges. Since the civil war between 2014 and 2020, the country remains divided between the East and West, with issues around the exploitation of hydrocarbons and revenue distribution being particularly sensitive. The majority of oil wells are controlled by the Eastern government, and ongoing disputes have led to blockades by armed groups aligned with the Libyan National Army (LNA). However, in 2023, a revenue-sharing agreement was reached.

Further progress was marked by the creation of the High Committee for Financial Oversight, which allocates budgetary resources between the regions. The reunification of the Central Bank of Libya (CBL) in August 2023 is another sign of improving economic management, though the situation remains fragile. Meanwhile, selective access to foreign currency and a flourishing parallel foreign exchange market continue to shape Libya’s economic landscape.