Libya’s Central Bank Governor Removed in Abrupt Move

Sadiq al-Kabir Removed by Presidential Council in Tripoli

One of Libya’s dueling authorities has unilaterally fired the country’s powerful central bank governor in an abrupt move that is likely to inflame tensions in the divided North African country.

The presidential council in the capital of Tripoli, which is allied with the government of Prime Minister Abdul Hamid Dbeibah that controls western Libya, removed Gov. Sadiq al-Kabir, according to a decree issued late Sunday.

New Governor Appointed

In his place, the council appointed Mohamed Abdul Salam al-Shukri, an economist and former deputy governor, as the new governor for the Central Bank of Libya.

Background on Al-Kabir

Al-Kabir had led the central bank since October 2011 — the year that Libya was plunged into chaos after a NATO-backed uprising toppled longtime dictator Moammar Gadhafi.

During that time, he accumulated significant influence and power but also faced criticism from officials on both side of the country’s political divide in allocating Libya’s oil money. In recent months, that criticism has turned into calls for his removal.

Current Political Situation in Libya

Oil-rich Libya has been split between a U.N.-supported government in the capital, Tripoli, and rival authorities based in the east. Different armed groups and foreign governments have backed each side.

Criticism of Al-Kabir’s Removal

However, Libya’s east-based parliament and the Supreme Council of State, an advisory body based in Tripoli, called al-Kabir’s removal illegitimate. The two bodies should also have a say in who is appointed to the position — a decision that shouldn’t be up to the presidential council alone.

That’s according to interim regulations agreed to under U.N.-backed talks meant to oversee the country’s reunification.

Conclusion

The sudden removal of the central bank governor has sparked tensions in Libya and highlights the ongoing political divisions in the country. The appointment of a new governor has not been widely accepted, and it remains to be seen how the situation will develop in the coming days and weeks.

FAQs

Q: Why was the central bank governor removed?
A: The governor was removed by the presidential council in Tripoli due to ongoing criticism of his management of the central bank and allocation of oil money.

Q: Who is the new governor?
A: Mohamed Abdul Salam al-Shukri, an economist and former deputy governor, has been appointed as the new governor of the Central Bank of Libya.

Q: What is the current political situation in Libya?
A: Libya has been divided between a U.N.-supported government in Tripoli and rival authorities in the east, with different armed groups and foreign governments backing each side.

Q: What is the status of the central bank?
A: The central bank is split, with an internationally recognized headquarters in Tripoli and an eastern branch allied with military commander Khalifa Hifter based in Benghazi.