Renewed Calm in Libya Attracts Lucrative Foreign Investments

An unfinished hotel, after its construction was halted in 2011, is seen in the Libyan capital Tripoli, Libya, on Aug. 13, 2021. (AFP)
An unfinished hotel, after its construction was halted in 2011, is seen in the Libyan capital Tripoli, Libya, on Aug. 13, 2021. (AFP)
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Renewed Calm in Libya Attracts Lucrative Foreign Investments

An unfinished hotel, after its construction was halted in 2011, is seen in the Libyan capital Tripoli, Libya, on Aug. 13, 2021. (AFP)
An unfinished hotel, after its construction was halted in 2011, is seen in the Libyan capital Tripoli, Libya, on Aug. 13, 2021. (AFP)

A decade after Libya descended into chaos, a host of countries are eyeing potential multi-billion-dollar infrastructure projects in the oil-rich nation if stability is assured.

In the capital Tripoli, dozens of rusted cranes and unfinished buildings dot the seafront, testimony to hundreds of abandoned projects worth billions of dollars launched between 2000 and 2010.

Reconstruction might kick off again with the end of fighting on the outskirts of the capital and the establishment of a unified executive authority in March to lead the transition.

Economist Kamal Mansouri expects Libya’s reconstruction drive to be one of the biggest in the Middle East and North Africa. He estimates “more than $100 billion” are needed to rebuild Libya.

Turkey, Italy and Egypt are tipped to be awarded the lion’s share of reconstruction deals.

Samuel Ramani, an expert on Africa at Oxford University, said that the competition over reconstruction in Libya will be fiercer in comparison to Syria.

Italy aims to defend its commercial interests in the nation with Africa’s largest oil reserves, an energy sector where ENI has been the leading foreign player since 1959.

The firm reportedly proposes building a photovoltaic solar plant in southern Libya.

In June, Spanish Prime Minister Pedro Sanchez also visited with a business team, while Libyan Prime Minister Abdelhamid Dbeibeh has traveled to Paris.

Algeria’s Sonatrach recently announced that it was considering resuming its activities while Tunisian officials have intensified calls to revive cooperation.

Talks between Egypt and Libya were also held. Libya was a key market for Egypt before 2011, especially in the construction field.



Russia is on the Verge of Recession, Says Economy Minister

The Russian flag waving in front of the Kremlin in Moscow, July 1, 2018. (AFP / Yuri Kadobnov)
The Russian flag waving in front of the Kremlin in Moscow, July 1, 2018. (AFP / Yuri Kadobnov)
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Russia is on the Verge of Recession, Says Economy Minister

The Russian flag waving in front of the Kremlin in Moscow, July 1, 2018. (AFP / Yuri Kadobnov)
The Russian flag waving in front of the Kremlin in Moscow, July 1, 2018. (AFP / Yuri Kadobnov)

Russia's economy is on the verge of sliding into recession, Economy Minister Maxim Reshetnikov said at the St Petersburg International Economic Forum on Thursday.

Russia this month cut interest rates for the first time since 2022, easing borrowing costs to 20% from 21%. But for months, businesses have complained of high rates stifling investment and economic growth has started to ease.

"According to the figures, there is a cooling, but all our figures are in the rear-view mirror," Reshetnikov said.

"According to the current feelings of businesses and business indicators, we are already, it seems to me, on the verge of going into recession. On the verge."

At the same session, Central Bank Governor Elvira Nabiullina said the current slowdown in GDP growth was "a way out of overheating".

Alexander Vedyakhin, First Deputy CEO of Russia's largest lender Sberbank said in an interview with Reuters this week that tight monetary policy was creating overcooling risks and said much lower interest rates of 12-14% would be acceptable to restart investment lending.

"There is a danger of the economy overcooling and that we will not be able to get out of this dip, and that further growth may be subdued," Vedyakhin said.