The Dawning of a new Era - Doing Business in Libya Post Gaddafi
Life is slowly getting back to a degree of normality after seven months of fighting. Any foreign businessman looking for a 'quick fix' and immediate results may be disappointed. There remain obstacles and despite the lifting of a freeze of $170 Billion of funds held overseas, both Libyan and foreign businessmen hope that there will be rapid economic development. They need to be patient.
Impatience is becoming an issue. The Militia are very much in evidence with many roadside check points. The sight of arms being brandished in public in the streets can be disconcerting to the visitor and symbolic of possible danger.
Daily life is becoming easier. Commercial Flights are arriving in and out of Libya’s main airports with LH, AZ, RJ, Air Malta, Turkish, Etihad and Qatar Airlines having regular flights. AF and BA will follow. Communication links exist between east and west. The internet is working. It is difficult to access cash from the banks and there are numerous power cuts in all parts. There is however a genuine enthusiasm and quiet optimism that the infrastructure can be fixed provided that Justice, Security and Democratic elections prevail.
The interim government are keen to ensure that Libyan businesses do well and that the Government gets value for money. Transparency is required. Large contracts are not likely to be awarded until after the elections. Some industry sectors need investment and contracts can be won straight away. It is likely that this needs to be through joint co-operation with Libyan companies rather than going it alone. Short term deals for road construction, hospitals and educational establishments have been signed. Those organisations able to extend credit will flourish. Oil production is close to 1.3 million barrels per day and are expected to return to post war levels. It is necessary to cultivate relationships with the National Transitional Government (NTC) and some bargaining is necessary. The countries that worked with the coalition and helped liberate Libya will be the ones that will be favoured.
Libya is open for business and future opportunities arise in Medicine, Oil and Gas, Education and Training as well as in Public Works and Security. Don’t wait too long, the wind of change is blowing. The dawning of a new era is beckoning.
