Ministry of Finance sets plan to cut state expenditure and achieve social justice

Ministry of Finance sets plan to cut state expenditure and achieve social justice

March 02, 2020 - 20:45
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Written By: AbdulkaderAssad

The Libyan Ministry of Finance has devised a plan to cut state expenditure in development, subsidies, and steering budgets in the 2020 budget in line with the ongoing financial crisis in the country.

The Ministry said in a statement that what it called the "rationalization of expenditure plan" included many decisions, one of which was decreasing the salaries of Presidential Council members and Minister-designates by 40% as well as the advisors by 30%.

"The government approved a proposal last January that aims to do some cuts in the salaries of executive and legislative staffers by 20% as well as to decrease the promotions by 20%. We are working on a database for the proposal to pave the way for the government to pass it." The statement reads.

The Ministry of Finance added that it had formed a committee of experts to devise the legal and technical standards for a unified salary system that achieves some sort of social justice based on performance quality and the amount of responsibility of the position.

Meanwhile, state employees' salaries haven't been paid I'm Libya since the start of 2020 amid some disputes between the Ministry of Finance and the Central Bank of Libya.

The Central Bank of Libya said last week it would start paying state employees' basic salaries exceptionally for January and February this year, leaving out incentives and promotions as well as any others extra payments.