London, 19 June:
The Central Bank of Libya (CBL) announced yesterday that it has reduced the cash payment needed for the opening . . .[restrict]of letters of credit (LCs) from 25 to 15 per cent in an effort to simplify the process of opening LCs and to aid economic recovery.
Last week, the CBL announced that there was to be no further restrictions on cash withdrawals from current accounts in Libyan banks as well as approving the resumption of the issuing of pre-paid debit cards by commercial banks under certain conditions.
These announcements are further evidence that the Libyan economy is on the road to recovery and that the CBL feels confident enough to loosen restrictions caused by the months of war during the Libyan Revolution.
There are still restrictions on the transfer of foreign currency abroad. Invoices for approved tangible ‘products’ still have to go through the newly added routine of being ratified by the Chamber of Commerce, and there are no transfers are being approved yet for intangible ‘services’ such as training and education. [/restrict]