First Published: 2013-11-12

Oil disruption affect Libya economy
Libyan economy to shrink 5.1% this year due to oil disruption triggered by protest blockades, while government will experience budget deficit.
Middle East Online

DUBAI - The Libyan economy is expected to contract by 5.1 percent this year due to oil output disruptions triggered by protest blockades, the International Monetary Fund warned on Tuesday.

The government will also experience a budget deficit, instead of enjoying a surplus, due to falling oil revenues, said Masood Ahmed, the IMF Middle East and Central Asia director.

"The Libyan economy is likely to contract this year, rather than expand," due to disruption to production, Ahmed said at a Dubai conference, where he launched the IMF's Regional Economic Outlook report.

The report predicted a 5.1 percent shrinkage of the Libyan economy this year.

Economic growth in the North Africa country had surged last year by 104.5 percent, compensating for a massive contraction of 62.1 percent in 2011, the year the regime of the late dictator Moamer Gathafi was toppled.

Protesters, including ex-rebels, demanding a fairer distribution of resources and jobs, have been blocking oil fields and export terminals, causing around $13 billion in losses to Libya's oil-dependent economy, authorities say.

Current output is estimated to have dropped to 250,000 barrels per day, from 1.5 million bpd before the protests erupted in July, an official at Libya's National Oil Company said last week.

 

Syrian rebels agree to leave new area outside Damascus

Family accuses Israel of killing Palestinian in Malaysia

Rouhani slams officials' 'vow of silence' in face of protests

US has 'concerns' about Turkey holding fair vote under state of emergency

Cinema makes return to Saudi Arabia

UN Security Council meets over Syria in Sweden

Turkish government rejects criticism of election campaign

Condemnation after Gaza teenager killed by Israeli soldiers

Natalie Portman says backed out of Israel prize over Netanyahu

Morocco, EU start talks on new fisheries deal

FIFA to return to Morocco to check hotels, stadiums

Turkey in shock after violent Istanbul derby

Iraq pays first war reparations to Kuwait since 2014

Fiery kites adopted as new tactic by Gaza protesters

Romanian president slams plan to move Israel embassy

Western strikes on Syria bring no change whatsoever

Trump criticises OPEC for high oil prices

Syria says rebels south of capital surrender

Market has capacity to absorb higher oil prices: Saudi minister

Putin 'ready' for Trump summit

Saudi Arabia to host first public film screening

HRW criticises Lebanon for evicting Syria refugees

Saudi says intercepted ballistic missile from Yemen

Russia mulls supplying S-300 missile systems to Syria

Bashir fires Sudan foreign minister

Washington: Assad still has 'limited' chemical capability

European MPs urge US not to scrap Iran deal

Oil price soars to highest level in years

Two more pro-Kurdish MPs stripped of Turkey seats

Oil theft 'costing Libya over $750 million annually'

Turkey's snap polls: bold gambit or checkmate for Erdogan?

Iran arrests senior official over public concert

Bahrain sentences 24 to jail, strips citizenship

UN experts urge Iran to cancel Kurd's death sentence

Moderate quake strikes near Iran nuclear power plant

Syria regime forces caught in surprise IS attack

Turkey sentences 18 to life for killing ‘hero’ coup soldier

Exxon faces setback in Iraq as oil and water mix

Libya to clamp down on fuel smuggling

Yemen to arrest colonel for overlooking African migrant rape

Erdogan sends Turkey to snap polls on June 24

Qatar joins Gulf military exercise in apparent compromise

Saudi-Russia oil alliance likely to undercut OPEC

UN in security talks with Syria on chemical probe

Riyadh says two al Qaeda militants killed in Yemen