Fight for Control of Central Bank Threatens Libya’s Uneasy Peace

Libya continues to grapple with instability and division more than a decade after the 2011 Arab Spring uprisings led to the ousting of longtime dictator Muammar Gaddafi. The country remains split between two rival governments: one based in the west and the other in the east, each with its own leadership and agenda. The ongoing power struggle has left the nation in a precarious state, with little progress towards unification or stability. Recently, the leader of Libya's western government endorsed a controversial decree aimed at restructuring the central bank's leadership. Despite analysts deeming the decree legally ineffective, the presidential council announced plans to install a new board of directors for the central bank, signaling a potential escalation in the power struggle between the two factions. This move has raised concerns about the implications for Libya's already fragile economy and governance. In the eastern region, the Parliament operates under the control of Gen. Khalifa Hifter, a warlord whose rule has contributed to a tenuous peace among rival militias. While this arrangement has reduced violent confrontations, it has failed to address the pressing needs of ordinary Libyans, who continue to suffer from economic hardship and lack of basic services. As the battle for control of the central bank unfolds, the future of Libya's peace and stability hangs in the balance, with both sides poised to defend their interests amid a backdrop of ongoing political turmoil.