Central Bank of Libya sets digital payments and foreign currency measures including USD 2 billion for letters of credit transfers and personal needs

The Central Bank of Libya published a readout of a meeting led by Governor Naji Mohammed Issa with commercial banks, central bank departments and Moamalat Financial Services Company that focused on digital payments, foreign currency supply, liquidity management and cash sales. The main actions were a push to expand electronic payment infrastructure, an announced allocation of USD 2 billion starting the following day for letters of credit, transfers and personal purposes, and preparations for a revised mechanism for foreign currency cash sales backed by USD 1 billion in cash supply. On payments, banks were urged to meet business demand for Point of Sale terminals and keep sufficient inventory, while work is being accelerated for foreign currency account-to-account transfer services under the ONEPAY and LY PAY projects. On foreign currency access, the governor reaffirmed the central bank’s readiness to meet market needs under existing rules and instructed commercial banks and relevant departments to extend working hours so all applications submitted through the systems can be processed. The meeting also covered activating the restricted deposit facility at the central bank as a liquidity management tool to regulate money supply and generate returns, alongside a review of the regulatory framework for foreign currency cash sales to strengthen transparency and discipline. Next steps set out in the meeting include beginning the USD 2 billion allocation from the following day, advancing readiness for the ONEPAY and LY PAY transfer launch, and maintaining coordination between the central bank and commercial banks to implement the measures and address operational challenges.