Libya: Bashagha Proposes Mechanisms to Preserve Oil Revenues

Libya's parliament-appointed prime minister, Fathi Bashagha (File photo: Reuters)
Libya's parliament-appointed prime minister, Fathi Bashagha (File photo: Reuters)
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Libya: Bashagha Proposes Mechanisms to Preserve Oil Revenues

Libya's parliament-appointed prime minister, Fathi Bashagha (File photo: Reuters)
Libya's parliament-appointed prime minister, Fathi Bashagha (File photo: Reuters)

Libya's parliament-appointed prime minister, Fathi Bashagha, asked the National Oil Corporation (NOC) to submit its proposals on mechanisms necessary to preserve and maintain funds generated from oil revenues.

Bashagha sent an urgent message to NOC Chairman Mustafa Sanalla, stressing the need to resume oil production and export as soon as possible.

The prime minister said the government was ready to complete all necessary measures to adopt mechanisms related to the collection of oil revenues.

The protesters' demands in the Oil Crescent region are "legitimate," said Bashagha adding that they have the right to object to the current mechanisms for maintaining funds generated from oil revenues.

He warned that closing the oil fields and ports would not solve the problem but instead disrupt the institution's work and negatively affect production.

The Prime Minister stated that the NOC requires agreement on specific and disciplined mechanisms to ensure that oil revenues are kept in its accounts and not referred until the issuance of the budget law by the House of Representatives, stressing the need to ensure the continuation of the payment of salaries to preserve the interest of the citizens.

Bashagha affirmed his government's relentless efforts to resume oil production and export, and its full readiness to complete all necessary procedures to ensure the adoption of mechanisms related to the preservation and maintenance of oil revenues and ensure their good management and non-political exploitation.

Last month, US Ambassador Richard Norland presented a short-term mechanism that would build on that model but in a more orderly way and with more transparent financial oversight.

It would have "enough transparency with everybody producing statements on what's been dispersed and received" so that any discrepancies could be accounted for, he said.

Protests erupted in the regions near oil fields and ports after the NOC transferred $6 billion to the unity government.

The residents shut down the oil fields and demanded that the Tripoli-based government chaired by Hamid Dbeibeh hands over power to Bashagha.

Oil production at the Sharara field has been stopped, and NOC declared force majeure at the area, which produces around 450,000 barrels a day.

The corporation called the shutdown of the field an "absurd move" that mirrors the ongoing standoff in the country.

Sanalla said they were forced to stop production at all fields and stations associated with the terminal and shipping facilities until further notice.



Can Tourism Help Revive Egypt-Iran Relations?

Egypt’s Sisi meeting the Iranian Foreign Minister in Cairo – Egyptian Presidency
Egypt’s Sisi meeting the Iranian Foreign Minister in Cairo – Egyptian Presidency
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Can Tourism Help Revive Egypt-Iran Relations?

Egypt’s Sisi meeting the Iranian Foreign Minister in Cairo – Egyptian Presidency
Egypt’s Sisi meeting the Iranian Foreign Minister in Cairo – Egyptian Presidency

Iran has reiterated its desire to strengthen ties with Egypt, expressing hope for a memorandum of understanding to facilitate tourism between the two countries.

While analysts say tourism could serve as a key channel for reviving relations, they stress that Cairo remains committed to a cautious, gradual approach in its dealings with Tehran.

Speaking to Iran’s official IRNA news agency on Monday, Iranian Minister of Cultural Heritage, Tourism and Handicrafts Reza Salehi Amiri said bilateral talks have been held to resume relations with Cairo, adding that the government’s strategy aims to “reopen the path to Egypt”.

“Egypt, with its population of 115 million, has immense cultural, heritage and religious potential,” Amiri said.

“There is a genuine interest among Egyptians in developing ties with Iran, and both governments have the political will to move forward”.

He emphasized the importance of establishing formal diplomatic relations, noting that “significant steps have already been taken and there are no major obstacles to expanding tourism.”

Amiri said Tehran is eager to sign a tourism-focused memorandum of understanding with Cairo.

“The first round of talks has been held, and the negotiations are set to continue,” he said, calling for “the removal of any remaining hurdles”.

Amiri pointed to a recent visit to Cairo by Iranian Foreign Minister Abbas Araghchi, saying the groundwork had been laid for building diplomatic and tourism ties. “With the foreign minister’s presence and efforts, political relations will resume, and that will pave the way for deeper cultural engagement”.

Araghchi visited Egypt earlier this month and met President Abdel Fattah el-Sisi. In a joint press conference with Egyptian Foreign Minister Badr Abdelatty, Araghchi described the talks as unprecedented and constructive, highlighting “an advanced path toward cooperation and convergence”.

He said the two sides had agreed to maintain political consultations and work on boosting trade and tourism.

Abdelatty announced the launch of a new channel for political dialogue below the ministerial level to address various aspects of the relationship.

Amiri said Iran has invited Egyptian private sector companies to participate in large-scale tourism projects and voiced Tehran’s readiness to facilitate air and land travel, including joint historical and religious tours.

He called for activating joint hotel and tourism ventures under strategic agreements between the two nations.

Huda Raouf, a political science professor and head of the Iranian Studies Unit at the Egyptian Center for Thought and Strategic Studies, told Asharq Al-Awsat that “tourism is one of the sectors with the most potential for a breakthrough in Egypt-Iran ties, especially with Iran’s interest in religious tourism”.

But she added that Cairo remains cautious. “While Egypt is open to dialogue with Iran on several files, it is taking a deliberate and measured approach to deepening relations.”

Raouf noted that Egypt is in contact with Iran on key regional issues, including Red Sea security and the Gaza Strip, but is proceeding “with calculated steps”.

She said full normalization would only come “at a time aligned with Egypt’s national interests”.

She also pointed out that the easing of entry procedures for Iranian tourists currently applies only to South Sinai.

In March 2023, Egypt announced a package of measures to boost foreign tourism, including a provision allowing Iranian tourists to obtain visas upon arrival at airports in South Sinai.

The plan, which required tourists to travel in organized groups and through pre-coordinated tour operators, was welcomed by Tehran at the time.

Former Egyptian Assistant Foreign Minister Hussein Haridy told Asharq Al-Awsat that Iran’s push to promote religious tourism in Egypt is not new. “Cairo continues to adopt a gradual approach to building ties with Tehran,” he said.

“Developing political and diplomatic relations will have a spillover effect on other areas,” Haridy added, but cautioned that progress will unfold at a pace suitable to both sides. He linked any acceleration in bilateral engagement to the outcome of ongoing US-Iran nuclear negotiations.

This is not the first time Iran has sought to establish tourist links with Egypt. Between 2011 and 2013, similar efforts were made but failed to yield results.

The two countries severed diplomatic ties in 1979, with limited relations restored in 1990 at the chargé d’affaires level. Over the past two years, Egyptian and Iranian ministers have held multiple meetings to explore avenues for improving ties.

Ambassador Rakha Ahmed Hassan, another former Egyptian assistant foreign minister, said tourism may be the easiest entry point for broader engagement.

“There have already been discussions about launching direct flights between the two countries,” he said. “There is no fundamental reason preventing a closer relationship”.

Hassan highlighted Iran’s interest in religious tourism and sites associated with the Prophet’s family in Egypt.

Araghchi’s recent visit to Cairo included prayers at the historic Hussein Mosque and dinner at the iconic Naguib Mahfouz restaurant in the Khan el-Khalili bazaar, accompanied by prominent Egyptian figures, including former foreign ministers Amr Moussa, Nabil Fahmy and Mohamed el-Orabi.