The Libyan dinar is the official currency used in Libya. Denoted by LYD, one Libyan dinar can be divided into 1000 Libyan dirhams.
During the time Libya was still a part of the Ottoman Empire, the country used the Ottoman Empire currency, piastres. When Italy started taking over, the lira was introduced. The introduction of the lira sparked the trend of using a different currency for different territories. At one point, the lira, Algerian franc and Egyptian pound were used nationwide. When Libya gained its independence in 1951, the Libyan pound was introduced.
In 1971, the Central Bank of Libya introduced the nation's existing currency: the Libyan dinar. Today, the Bank supervises the banking system and regulates credit. In 1972, the Libyan Arab Foreign Bank was established to deal with matters pertaining to overseas investments.
Sovereign Ratings for Libya
Libya is not rated.
What does it look like?
Political Structure
Libya's political system is theoretically based on the political philosophy in Moammar Al Qadhafi's Green Book (a combination of socialist and Islamic theories) yet also rejects parliamentary democracy and political parties. The system of governing in Libya is in theory, Jamahiriya (a state of the masses), which is governed by the populace through local councils. In fact, Libya's government follows a military dictatorship.
Libya's chief of state is the revolutionary leader Col. Moammar Abu al-Qadhafi. He holds no title but is de facto chief of state. The head of government in Libya is the Secretary of the General People's Committee Mubarak al-Shamekh. The General People's Committee also makes up a cabinet that is established by the General People's Congress. National elections are indirect and go through a hierarchy of people's committees.
Libya's legislative branch is made up of the unicameral General People's Congress.
The judicial branch of Libya consists of the Supreme Court.
Prominent Figures
Chief of State: Col. Moammar Abu al-Qadafi
Governor of Central Bank of Libya: Ahmed Abd al-Hamid Munaysi
Unique Characteristics
In April of 2005, most of the trade sanctions against Libya were lifted as Libya announced that it would stop production of weapons of mass destruction. Several terrorism related sanctions, however, remain in place. Sanctions were first imposed on Libya by the Reagan administration in retaliation for what the US saw as Libyan support for terrorist groups. President George W. Bush lifted the remaining sanctions including aviation and importing of Libyan oil once the news of Libya's willing to cease production of weapons of mass destruction got out. The lifting of the trade sanctions represent a great amount of confidence in Washington that Libya will remain true to its promise regarding the dismantling of any weapons programs remaining. The confidence in Washington represents the potential for the confidence in international investors to invest their capital in Libya.
Key Economic Factors
Economic Overview: The Libyan economy is highly dependent on revenues from the oil sector. Oil revenues comprise almost all export earnings and nearly one-quarter of GDP. High oil revenues paired with a small population give Libya one of the highest GDPs per capita in Africa. Little of this income, however, trickles its way down to the lower orders of society. Economic reforms, based on a broader campaign to reintegrate the country into the international playing field, have been fueled by the lifting of UN and US sanctions. Libya faces a long road ahead in liberalizing the socialist-oriented economy such as applying for WTO membership, reducing some subsidies, and announcing plans for privatization.
Agricultural Products: Wheat, barley, olives, dates, citrus, vegetables, peanuts, beef and eggs.
Industries: Petroleum, food processing, textiles, handicrafts and cement.
Import Commodities: Machinery, transport equipment, food and manufactured goods.
Export Commodities: Crude oil, refined petroleum products and natural gas.
Major Trading Partners: Italy, Germany, Tunisia, Italy, Spain and Germany.
Have additions or corrections to this material? 
