Audit Bureau warns of looming financial crisis

Audit Bureau warns of looming financial crisis

November 27, 2015 - 20:38
Posted in:
Written By: AbdullahBenIbrahim

Libya is now spending more than double its annual revenue on salaries and subsidies, the Audit Bureau warned on Friday, saying the estimated 2015 revenue is amounted to only LYD 15 billion.

"LYD 33 billion are allocated for salaries and subsides every year," it added.

The Audit Bureau explained that government expenditure for the current year is amounted to LYD 6 billion, while the estimated annual deficit will total LYD 24 billion.

"Libya will swallow up its reserves in just 2 or 3 years' time if the current crisis continues." It warned.

Libya's income depends mainly on oil production. The current crude production is less than 300.000 bpd, according to a recent report from the NOC. Many oil fields are still closed due to the closure of pipelines by Zintan in the western region and Ibrahim Jodran militias in the east.