Libya’s Eastern Parliament Names Interim Central Bank Chief as Resignation AdvancesLibya’s Eastern Parliament Names Interim Central Bank Chief as Resignation Advances
Key Highlights
- Libya’s divided political institutions face another test after lawmakers in the east took a step towards replacing the central bank governor.
- The parliament’s presidency has accepted Naji Issa’s resignation in principle and assigned board member Fowzi Abukhzam to act temporarily.
- The western-based High Council of State has challenged the move, leaving the leadership question politically contested.
Libya’s eastern parliament has accepted Central Bank Governor Naji Issa’s resignation in principle and assigned board member Fowzi Musbah Abukhzam to carry out the governor’s duties temporarily, according to a decision issued by the parliament’s presidency on 22 October.
The decision, reported by the Libyan News Agency, says the resignation must still be presented to the full House of Representatives for a final decision. Reuters also reported the move and the appointment of Abukhzam.
The change matters because the central bank oversees monetary policy and public financial operations in an economy that remains split between rival political authorities. Uncertainty over its leadership can complicate confidence in the institution and the management of foreign currency and state revenues.
A temporary appointment, not a settled handover
The eastern parliament’s decision is provisional. It accepted the resignation in principle and assigned Abukhzam to manage the role in the interim, pending a later parliamentary decision on Issa’s departure.
The move has also been challenged by the western-based High Council of State. Reuters reported that its first deputy rejected what he described as unilateral action and urged Issa to continue in his post. That dispute means the decision should not be presented as an uncontested, final change of central bank leadership.
Libya has had rival political institutions since 2014. The central bank itself became the focus of a previous standoff over control of the institution, which was resolved in 2024 when the rival legislative chambers agreed on Issa’s appointment.
Why the bank’s leadership matters
The Central Bank of Libya is central to the country’s financial system, including its management of public funds and foreign currency. A contested leadership change can raise questions for businesses that need access to foreign exchange, companies that rely on imports and public institutions that depend on state payments.
The immediate practical question is whether Libya’s rival institutions can agree on the next step. The eastern parliament says the resignation will be considered at its next session, while the western-based council has objected to the process. Until the legal and political position is clarified, the temporary assignment should be distinguished from a final appointment.
The central bank’s official board of directors page lists Naji Mohammed Issa Belgasem as governor and Fawzi Abukhazam as a board member. That page provides institutional context but does not itself confirm the new temporary assignment. Reuters’ report on the decision provides independent corroboration.
For a related example of how corporate developments affect African investors, read Mwenendo’s report on Kakuzi’s revised earnings outlook.