Implementing a true government of national unity is needed to mend economic and social destruc- tion since the fall of Moamer Gaddafi. Risk levels remain extremely high.
Economic risk (HIGH): The row over oil facilities has highlighted the fragility of the economic outlook, which depends on a sustainable recovery in crude production.
Political risk (HIGH): Political stability rests on whether the UN’s call for elections will be upheld. Support- ers of the late Moamar Gaddafi have indicated they plan to stand.
Financial risk (HIGH): The rise in oil production relieved strain on budget and current account deficits but the government’s finances are still under pressure.
Commercial risk (HIGH): Libya is the sixth worst place to do business in the world according to the latest World Bank Doing Business report. Successful elections could start the process of inviting foreign firms to bid for reconstruction work.