Jan 18 (Reuters) – Libya’s central bank announced a 14.7% devaluation of the dinar on Sunday, setting the exchange rate at 6.3759 to the U.S. dollar, the currency’s second such adjustment in less than a year, citing the nation’s political and economic turmoil.
The move follows a 13.3% devaluation in April 2025, which had set the exchange rate at 5.5677 dinars to the U.S. dollar.
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In a statement, the Central Bank of Libya attributed the latest decision to the adverse effects of ongoing political divisions, declining oil revenues due to lower global oil prices, and persistent economic challenges. These include the lack of a unified general state budget and rising public spending.
Libya has faced instability since a NATO-backed uprising in 2011, which led to a split in 2014 between eastern and western factions, each ruled by rival administrations.
The oil-rich nation has struggled to stabilise its economy and maintain consistent revenue flows amid fluctuating oil production and prices, which serve as the backbone of its economy.
Reporting by Ahmed Elumami; Writing by Muhammad Al Gebaly; Editing by Louise Heavens
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