The Libyan economy is in dire straits. The road to reviving its fortunes relies on kick-starting oil production once more. Investments are needed.
Years of internal strife and instability have taken a severe toll on Libya’s economy. Oil production, by far Libya’s most important source of income, was hit hard (nearly collapsing in 2016), followed by a cash crisis, inflation and electricity and food shortages. Amidst gridlock between two competing governments, continuous infighting among militias (including Islamic State) and failing UN attempts to install a unity government, efforts are taking place to bring Libya’s oil production back on line.