Libya must slash its budget by a third and halt infrastructure funding to offset the loss of oil revenues, according to a report by Reuters.
Mohammed Abdullah, head of the budget committee, said that the General National Congress (GNC) proposes to cut the budget to 44 billion Libyan dinars ($36 billion) from 68.6 billion dinars due to the 9-month shutdown of major ports and oilfields.
He said funding for new infrastructure and other development projects would be halted for now: “It is very difficult ... to launch a development plan in the absence of a new government.”
More than half of the budget goes to subsidies and salaries for overstaffed and public service.
(Source: Reuters)
(Budget image via Shutterstock)
