Tripoli, The Central Bank of Libya confirmed that the government’s foreign exchange expenditures decreased during the year 2021 compared to previous years, despite the fact that development spending increased by 27% during the same year.
In its statement today regarding foreign exchange revenues, uses and liquidity during the period from 1-1-2021 to 12-31-2021, the bank indicated that documentary credits represent about 45% of foreign exchange uses, and 85% of the emergency expenditures of Chapter Five were spent for development purposes approximately 6 billion dinars.
The bank’s statement confirmed that the tax revenues are not commensurate with the increase in the first chapter expenses, salaries and the like, by about 50% over last year.
He explained that customs revenues are not commensurate with the volume of documentary credits opened by banks, which constitute about 45% of foreign exchange uses, at a value of 10.7 billion dollars.
He pointed out that fuel subsidies still occupy the largest share of subsidies and represent nearly 50% of the subsidies, which is a problem that should be addressed because it causes unfair distribution and waste of public money.
Source: Libyan News Agency