Central Bank issues new money transfer powers

 Tripoli, 28 January 2013:

The Libyan Central Bank has announced that it has granted commercial banks powers to transfer money abroad to . . .[restrict]finance import farm supplies and equipments, information equipment, computer supplies, medicines, and medical supplies for commercial use by specialised companies.

This procedure comes under the decision of the LCB Governor, No. 1 of 2013 in accordance with the following conditions:  A money transfer application, No. A.R.M.N 3/2008 attached to circular No. A.R.M 3/2008 must be submitted. The application can be found at the LCB official website of the Central Bank of Libya. An initial bill showing commodity prices, varieties and quantities must also be enclosed with the applications, which should be approved by the local supplier.

The exact equivalent amount to be transferred will be deducted in full in Libyan dinar direct from the concerned company’s local bank account. The importing company must provide the appropriate license indicating the company’s line of specialisation issued by the Ministry of Economy, as well as provision of the statistical accreditation issued by the Customs Department which should be included with the documentations required by the bank, provided all documentation provided are still in validity on the date of applying for the foreign money transfer.

Banks are obliged to keep to the maximum specified amount of no more than US 100,000  at a time but should not exceed US 250,000 a year and should the specified limit be exceeded, the company will be required to open a foreign financial credence to be able to import the required goods. The importing company is also under obligation to provide customs declaration evidence of the imported equipment and goods within the period specified under instructions stated the LCB. These entities/companies are required to provide an undertaking to only supply the specified goods to Libya and to provide the customs declaration evidence on time. Banks are required to abide by all instructions issued by the LCB or by any other relevant Authority which may have issued a decision in respect of stopping  banking transactions of ant particular company/entity.

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