Libya: regulation of the financial services sector
The Libyan General National Congress (GNC) looks to amend regulations of the financial services sector and to introduce Islamic financing into Libya for the first time. Currently there are a number of discrepancies between a new law about Islamic finance and some of the existing supervisory legislation. This has resulted in confusion that is likely to put a brake on the development of this sector, as investment companies will not be willing to develop new products. Clear common objectives, separation of powers and clarity of written rules and regulations are necessary to raise the competitiveness of Lybia's domestic banking markets, develop new Shariah-compliant financing products and provide a secure approach to the growing needs of the Libyan customers.