HoR-elected CBL Governor takes the oath, Tripoli CBL Governor rejects and Libyan dinar slopes

HoR-elected CBL Governor takes the oath, Tripoli CBL Governor rejects and Libyan dinar slopes

January 29, 2018 - 21:38
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Written by: AbdulkaderAssad

Mohammed Al-Shoukri taking the oath

The Governor of the Libyan Central Bank - appointed by the House of Representatives in eastern Libya - Mohammed Al-Shoukri was sworn in in an HoR meeting in Tobruk on Monday.

Al-Shoukri mapped out his plan for Libya's economy after he took the oath and promised to end the high prices of foods and goods, in addition to supporting the Libyan dinar to keep gaining more value in the black market.

Reacting to this step, the Head of the High Council of State (HCS) Abdelrahman Al-Sweihli described the swearing in ceremony as "an individual act and leaping into the air that will eventually lead to failure as previous endeavors."

"Libyans are paying for such acts. Any decision outside the Libyan Political Agreement is not legitimate." Al-Sweihli tweeted.

Meanwhile, the Head of the dialogue committee of the HCS, Mousa Faraj, said Monday's oath taking by Al-Shoukri is another violation of the LPA, adding that the decision is unilateral by the HoR and will lead to more division in Libya, especially in the economic sector, saying they will discuss next Wednesday the HoR's individual decision-making approach.

Tripoli-based CBL Governor Al-Saddiq Al-Kabeer commented by rejecting the decision and vowed to take no stock in individual decisions made by the HoR.

"I only recognize the LPA and call on all parties to commit to it. I am going to continue in the current economic reforms regardless of the acts of those who wish to see Libya's economy collapse." Al-Kabeer remarked.

HoR elected Al-Shoukri on December 19, 2017, however; the HCS - HoR's legitimate partner in making decisions as per the LPA - rejected appointment as it "violates the LPA," saying Al-Kabeer remains in office in Tripoli until the issue of sovereign posts is resolved in the political dialogue.

At the time of appointing Al-Shoukri, the UNSMIL said it noticed the election by the HoR and referred to article 15 of the LPA that obliged both parties to consult regarding sovereign posts' incumbents.

In the meantime, the Libyan dinar started to recover and gain more value over the last days hitting new highs against foreign currencies and coming a long way in the black market from 9.50 per one dollar to 4 or less this weekend.

Nevertheless, speculations, uncertainties and the reactions to the HoR's swearing in ceremony of Al-Shoukri as the new CBL Governor backfired and caused a backlash in the black market with the one dollar registering this noon 5.75 Libyan dinars.