Despite a fragmented political landscape and tribal power struggles, Libya’s economy is forging ahead as oil production rises, the IMF said in its latest Article IV consultation published 23 May.
Real GDP shot up 105% in 2012 as hydrocarbon output was rapidly restored. Inflation fell to 6%. This compares with a 62% fall in GDP in 2011. The 2012 budget recorded a surplus of almost 21% of GDP and the current account surplus widened to 36% of GDP. The fall in hydrocarbon exports in 2011 led to a budget deficit of 15.4% of GDP and a sharply reduced current account surplus. The financial situation began to normalize in early 2012 after the removal of UN sanctions on the foreign assets of the Central Bank of Libya. (CONTINUED - 277 WORDS)