covers world views like we do as a roman correspondence, i am constantly on the goals, covering topics from politics, to environmental issues. like nothing ever seen. what we want to know is how does these things affect people? we revisit places day even when they're no international headlines. i'll just say we're really invested in that. and that's a privilege. as a journalist, a few that with the leadership of libya, central bank is led to the suspension of oil production with 2 rival governments trading playing for the standoff, which has to be on the hunt. and what does it mean for libya's economy and security? this is inside story, the

hello that on james bays. libby is central bank which controls billions of dollars . an oil revenue is at the center of the latest political dispute. the governor has fed the country feeling for his life style. say they being threatened by um, groups and banking services interrupted libya has to rival governments which are full for power influence and control of its vast old reserves for more than a decade. this week, the internationally recognized government in the west replaced the central bank governor the administration in the east which operates most of the oil fields, objected and halted production. the national corporation reported losses of more than a $120000000.00 in just 3 days. so how will this lexis viewed affect the economy and is it taking libya closer to civil war? once again, would explore all these issues with our panel of guests who joined us in a moment. but 1st this report from katya lucas. how do you on security forces stand guard outside? libya, central bank and tripoli. the rival factions are locked in

a power struggle over who controls the institution and the countries oil revenue. banks have suspended operations and people can't access their catch. we demands that old banking procedures for tend to normal as far as the political problems and the competition over the leadership of the central bank. they should resolve these among themselves. citizens should be able to go about the banking as usual. it's the latest fall out in a divided nation back in 2011 long time leader and warmer. good. off he was overthrown. during the spring political disputes followed, leading to the formation of 2 rival governments. one is based on tripoli, in the west, internationally recognized and led by prime minister often come meet of the by or the other is based and been gauzy in the east and supports war lord calling for

half tar who controls most of libya's oil fields. and for years, both sides have depended on the central bank for survival. in a country where oil is the life blood, we should think of the central bank as being the heart of the pumps that wealth through the system. and if whoever controls that central bank is going to control which of those 2 level affections is going to throw it on which one of them is going to whether the 2 administrations compete for power. shifting alliances with arms groups, unrest has searched recently, fueling political instability, and disputes over resources. the status quote is not sustainable. in the absence of renewed political talks leading to unified government elections, you see where this is heading. in the fallout, central bank, a governor, so deacons could be, it has flood the country, the tripoli base presidential council, accused him of mismanaging funds and forced him out. now the rival government in

the east has promised to hold oil production until could be or is reinstated. so far, the countries output has dropped more than 50 percent to around $700000.00 barrels per day. what are the images of they've shopped on the central bank level people in a terrible state. most people just look around on the shops are empty. there are no services at nothing i pulled, it might have, he said, now divided libya is bracing for what could be yet another power struggle which could worse than an already french aisle situation. patsy. a little bit. so the yen l g 0 for insights story the, the, well, let's discuss the situation in libya further. now as we're joined by today's panel of guess and in been going to see we have football. and as i'm a historian and political research, and he's the author of tribe islam and the state in libya, and paloma italy is cody of guys the she's a senior libby analyst at the international crisis group. her research focus is on

libby and security, politics and economic governance. i'm in triple 8, mustafah for tory and independent living an academic and award winning to in less time to all of you for joining us on today's program. so around about the head of the central bank when, when you say like that for us, it doesn't sound particularly serious, but it is, isn't it? it's, it's a crisis. what a decent price is. it's one of those and not a kind of cross and secure like that would be and soldering citizens and the old for the institution, and then you can split it since 2014. um, this is a problem that has to be going on. uh, as i said, since 2014 because the drug bank has to be dominated by one man. uh are, you know, he has to be over the phone by his, uh for where i live and beckons. so this is just the number to leave us just this

is just the practice that you have to do with. i told you, let me ask you, do you think this is something that could potentially even bring libya to fresh conflict? well, so far we've seen our mobility is ation no need to conflict. i mean there's being confrontation as being tension. but we haven't seen that out right. or large part because for the past year or more, there's very little appetite to, to bring the country back toward. i think the major risk in this current moment is to see a major repercussion of dispute over the central bank on the economy. and that means more difficult living conditions for libyans and possibly a paralysis of, of the libyan economy. mustafah, i read an article that you wrote recently on the middle east monitor website. and you looked at the events a this time in august 13 years ago that was when get taffy was toppled. it was in

tripoli at the time, and it was actually in tripoli as well when he was killed in the october. you say there was a striking similarities with today. explain. yeah, sure, james, thank you for having me for a small on that. and this is the big similar i g drive. she actually has to do with the economy because of the sanctions of the time and back in 2011 and making living conditions for most of the views are quite different from the shortages are for basic and depravity, especially you and to god for the time as well, as the long choose the wrong, the better all i need to get stations for be able to print their cars. on the other similarity was the elizabeth difficult to use the, the one with the cash money, getting them from the backs. you know, it was the despite the war and everything and it wasn't back in 2011, wasn't as bad as we i see in later years. like in 2015,

2017 nissan this year. you know, a couple of months ago and they all have similar to use the loss of control over the over the. busy the government drawer in the states and institutions customized the tractor, the center back got settled for back in 2011 and was currently under control of the government. and the, even when the tide chose to flee in the country of new york actually in preparatory, when trump is talking, the new replacement was made it the warranted. then the everything went smoothly. i've told them to do more, and i've told her one of course not to smoke me, but uh, whatever happened, doctor deck, i mean, after march 2011. it was due to the war itself has nothing to do with the bottle. she's the govern. look, i mean, to accept what the situation guys have to do with the demonstrations of the nature

and progression of course, which destroyed much of the country. yeah. uh, do you know, how do you feel like you, most of the governments, the, the statements that you choose getting them to the point where pay off today? yeah, well that's, let's look at where we are today. so let's back up a little bit. for those that are watching us today for us, because you are in ben gauzy. we have most stuff up in tripoli and you're in the 2nd city. he's in the capital, but you have different governance. you have different people running those 2 ups of the country and triple. you have the you and recognize government. prime minister abdul hamid, debatable, and then gauzy. you have an eastern administration and the main person that is the whole general khalifa half. so it's not one country really is at the bottom of the way it's being run, visits for rush. no, it is. monday should its own country,

but it's to states integrated as a like a 2 governments. one government is i'm elected, which is joined by the international community. we have the government, which is in the guy, they expect that by the parliament, by the directors, all elected parliament and the country of the elected a very long time ago though for us, this is the problem is the institutions of different international efforts to try and rebuild the country and the latest elections that the international community planned never even happened. well, you kind of the way you want it, but it has to be elected to elected by the people to be the one that would that be the opportunity to more elections that hudson's? and that's why we have this government do that apartment to do the do i agree with it? she does a lot of questions. but again, and this is where you are, you have other sort of 2 states. do you have to put on distributions?

so going back over there for about what, what are you uh the on the used to be in godaddy. uh, which is the under the on button, the bottom of what i do have, i can actually do the dishes. i mean uh the actually, um, let's see, but i just uh evicting uh the, the, the, the going to be the back governor. i'm on the law is when you have business. okay. so let me tell you, it should include you. if you look at the congress, right to look at the country does not national natural results is this is a relatively small population. on the 7000000 people, it's a very big country, much of it's, that's it. but most of them live on the right north of the country on the med training coast, and it has or should have bossed well, should it not? the libya is a bank not to tonia, please be. the libya is a very wealthy country and has been because it produces 1400000 barrels of oil

a day and you know, the reserves of the libyan central bank. so that again, state our over $80000000000.00. it generates about 20 between $20.00 and $25000000.00 of oil revenues a year. so these are the big numbers compared to other neighboring states. and as he said that it's a, it's a very small population. the problem is that over the years they have being repeated accusations of mismanagement of funds and basil mat. or what a former you in the invoice sold outright. foundation of state results is so you have state officials that are actually using depositions of power to tap into these oil revenues. think the, even though they put it then given a lot. um, what is interesting to me is that given you companies to rival institutions to rival governments, there was only one central burke that seems to be the only institution that is

coleman. i'm not, seems to be why we have this really big problem right now as well. the, let's say that the central bank is normally unified, even though defective. it isn't only for the past year. you are the house. it has been divided into 2 rival branches since 2014 when the country 1st, but politically. so the political divisions brought with a split of the central bank. one was internationally recognized the headquarters in tripoli, governed by deacon's could be and was needing the governor officially recognized governor since 2011. and the mother rival branch based in been guys who have his own, which had his its own governor, but was not internationally recognized. so the central bank has been divided in the past 2 years, there's been an agreement in time because of the re kindled ties between authorities in eastern libya and the governor said you could could be that has been

an agreement that the east, a point to deputy debonair a gentleman by the name of mother i bought a seat, would be recognized as such by sydney could do so only in the past year and a half. has there been a sort of a new found friendship over the management, a centralized management of the central bank? of course, this is also because funds have increasingly be, be directed also to the east and also ortiz, which for years have been sort of starved of state funds and have a jews. the governor and tripoli are not giving them the money. the parliament was not receiving the money, no rival start using the ease. so this new, this fuel, that is a rough thing today, is actually a change of the, of the alliance structure in libya for many years, for almost a decade. it was those in the east towards using the governor and tripoli, all starving them off. they wanted him changed, and now because there's a refund friendship, they are the ones defending the governor and actually opposing the decision of the

tripoli base of the ortiz to socket. so it's actually was full circle in the future over the central bank. most stuff of then there was this understanding old bull, very tense, but it's broken down and it seems the dispute, the end was between the governor, all could be a and the tripoli government. the governor, i think, was unhappy with the spending levels of the tripoli, government concerned about corruption. a debate is government felt the governor of mass too much palate, is that the sort of tension we're talking about who was, who was in the right, who was in the wrong in your, if you must offer as well, that's part of it the way it went to jim, so that's part of the reasons if the tensions between the 2 sides and the search can be on the website on the broad administer and the other side that i the broadening certain trimble, you course, mr. banner. but there's also the changing alliances because

a license does the group research speaker i mentioned which are shifting all the time. and we have seen some kind of a shift lately when it comes to the alliances that support investors could be as well as a mr. bank about the same time, for example in terms of you know. busy i'm groups in tripoli, you know that mr. missing it could be, it was, was protected by the, the tyrant forces or rather, and then, you know, i can, the same people are like drawer tool tool tool tool, the prime minister, mr. bay. back. and i don't know, i like and beatrice. yes. but the issue here is actually and also have to do with 2 more things striking. first of all the, just the machine for us to options including mr. to be in his position as

a gover. i'm to got to you for their dog, and then there is a big question box on there. when you look at what's happened with the governor over the last 2 weeks. i mean, this is a man who was dismissed from his job twice before by december to try to keep the billing to den, which is the bon 1st of the 1st time in 2014, on the 2nd time of 2018. and we have to remember you guys being in the position since october 23rd on that's a very long time. no, completely free. been managing the financial model, see if the country managing the value, the nar, which is which has to be blown looking for the whole decades or so managing the funds available to him above hold for the order. and the people in the streets failed to get to know somewhere else. i'm truthfully,

somewhere else in the country. the main problem is he has been trailing them in terms of availability of cash was well uh, widely available in banking services. the banking services in the country are for there are no it in machines. you know for them please. i think and to hold the car up and where i yeah, there is only probably 10 to 15 such machines and most of them on every do. yeah. and then the average day and their lower control. okay. have okay. not honest about, as always what you say all his shortcomings for rush though the way he was got rid of had to flee the country, was very, very ugly, wasn't it? they were sieges of the, of the headquarters of the central bank. that was the head of the i t department was kidnapped, the threats made the children of stock of threatened with being kidnapped. and then in the end you have to leave the country. it was the way that to yeah,

he was $6.00 to say this was constitutional because it's gonna be a constitution and declaration. and that was not the procedure that just normally in a southern country would do it. however, i'm having to see that back up for us. i'm the see model, the country, but i wouldn't like to to do it the way that i've done it. is that the ties um, given the, the, this, the institution about they as high school, the, even a bigger function, the, treating, the rules of libya as the college has exchange. now we are charged and, and, and both banks of the, the arguments content including the, what, what's happening now is that the eastern government, which is where most of the oil feeds failed to based have shut down the oil poets. they've shut down the production and tell us,

is this something you think could go on for some considerable time and what are the effects already on the libyan economy? how worrying is it? yes, i mean 1st. so let me say it was somebody who has been following libya for over 10 years. just the idea that the eastern base of or i to use a and you the hopped our base forces up their lead forces shots, the oil installations to protest against the sacking of the governor, who is their arch enemy for, for many, many years is somewhat a you know, surprising, but the repercussions are going to be, the repercussions will be there. i expect this a disclosure to, to last, to go on until there is this assessment of this dispute, of course that he's based. so start is want to see the presidential council. so the tripoli, based off the warranties backtracked on their decision and reinstitute or at least have of some kind of faith saving declaration that re institutes. so do could,

could be as, as the governor. so i expect the closure to go on for some time with not seeing any signs of this finding a common ground, despite the fact that this the un acting invoice. stephanie cory, us for a meeting to take place somebody some days we saw or you the state department issue, a very strong statement. the just earlier today, condemning the fact that the, these moves on the central bank were done without consent, says, so the risk going forward is not only this stopping of oil flows and therefore the shortage of revenues. i mean, oil has gone down from a 1400000 barrels a day to around 500000 barrels of production a day. so the, the, the relative to income is also a lot. but there's also the risk that if there's confusion as the us a story to, to use referred to, it goes on. there might be some decision on an international level to close off

transactions which have been, have been temporarily suspended with the central bank of libya. so there's been a to appetite of international town to parts to deal with a central bank the that is a contest it. so i think the risk side, the closing all financial transactions until this dispute is, is result was the hotel us how it feels right now. in triple a how, what read all people about the situation? is it affecting old and re people's lives at this stage? how are it all they about the value of the libyan the know how worried are they? the for example, salaries for people who work on the public payroll are going to get paid on. told that the figures are 2400000 libyans out of about 7000000. are actually state employees. you know that sir? yeah, that's the, that's the straight to one portion. see,

most people are getting paid from the government and actually they don't do it any, any, any kinds of flux. but this is the way to even triple the i went through the notes too much of change with the exception for 2 things. one is the, one of the, was the, uh, the problems with the, with the gas, you know, or on the gas stations, which, you know, the distribution company to go home and go distribution companies break. it has to be in charge. we should be good, but everything is fine and it has enough supply us in stock time, the much more is coming into the country, which is the other. i'm the, the current, libya despite being good, big one, the producer and boss, most of the find the product so it doesn't capture enough for the final good. good best the, that's one thing. the other thing is when it comes to banking, do you know, i know what's the and the shops i was the. busy one of the big sort of marks

yesterday in the city. and they have already now suspension of using the payments, you know, by the or any, any cards or for backups, which is not widely available in any way but, but wherever they used to be, they are stopped using them. i also change the, you know, notes that the dollars value was not uh you know, call them much more button compared to other other. busy times or price, you know, like, uh, 2 years ago or something. and uh, the other thing, the, i know it says the prices have gone up. but you know, me just the globalization. i mean, the car cannot please just rarely, people not ready warren. i'm, they are confused. okay. told the just were bring you want to people being well it do you think the international communities, why would you use to look as an advisor to the van head of the un mission?

um, it seems to me, i mean, back in 2020 we had world leaders having some, it's invalid and talking about libya. but that doesn't seem to be quite the same. focus on libya now. has the world lost interest in libya and is that worrying in itself? well, for the past 2 years, it has to be said. the world has taken a step back on the been mainly because there was comfortable statics quote, there was no war the to write on know sort these even though each had its own government and military condition in the east and the west of the country. these 2 arrival, so those entities weren't talking to each other behind closed doors. they were arrangements, there was a sort of a, a peaceful coexistence. and people thought many, far and capitals to that, well, you know, it's libya is not in such a bad place now. and use there is no war and this is what caused people to a and institutions to, to,

to follow less. libby also because the region is aflame with other conflicts. so there was this idea that this. ringback this peaceful state of school despite being dysfunctional and despite being precarious, would continue. now with this recent crisis over the central bank, which i should repeat was rather unexpected. because there was always this assumption that the debate by the government of tripoli was talking to the hoster dominated authorities in the east and that they were deals at taking place. there was always this idea that this co existence will continue. so this, this, this crisis over the leadership of the central bank came a bit of the shop. okay, but i'm very soon, very, very concerned, very concerned for us. last, what would you very briefly do you think the conflict can be avoided? how, what would all you about the prospect of the conflict briefly if you may, i didn't think this timing on, you know, how to go from one of the complex. i think the,

the trends step just prefer to see what he's trying to do on the back end. one way or another, i think would be sorted out. i did think that would be all ok. thank you very much for raj. thank you. to all guess today for us to not jim claudia, because any, i'm most of the tory, if you missed any of this program or joined us like you could always want you to get on our website out to 0. don't com. what issue should get the in depth inside story treatment next time, let us know on facebook, facebook dot com forward slash ha inside story or unless you're in brazil you can find this on x as a inside story for me james space and the production team here in bo huh. bye bye for now, the to offering of kind of style and it's put right through the prism of war. but there

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between the monk, adult people this coming people moya nice to match up by the price low to nick the so on sign a high hello on sort of side of thing to have the top stories on which is era in the occupied westbank of destructive siege wise ready forces is less palestinians in the city of janine without food, water, electricity, and internet access, as well as sending additional reinforcements to backup its troops. there is its launch scale minute true sold and says it's 5th day. they have been heavy gun bottles in the city. the palestinian red crescent says the child has bought the hospital with a bullet wound through the head. at least 24 people have been killed by his ready

forces.