Infrastructure - a priority

Libya’s economic progress is dependent on overseas technology and expertise for the expansion, upgrading and modernisation of its vital infrastructure. This is central to an ambitious multi-billion dollar National Development Plan which has a US$14 billion allocation for 2007 alone, representing 60% of the total annual budget.

The Plan focuses on: housing - 50,000 units a year are needed to keep pace with the growing population; the construction and equipping of schools and hospitals; road and bridge building - including 2,000kms of road improvements; water and sewerage projects – US$6 billion has been allocated to waste water systems and management; the renovation and construction of airports - a new terminal at Tripoli International Airport and the construction of a new airport in Benghazi are a priority. All this activity will put increased demands on the power sector which is set to double in terms of output from 4,700MW to 9,700MW within the next five years at a projected cost of US$7.5 billion.

Human Resources Development - key to economic future

75% of Libya’s population is under the age of 35 and provides the skills feedstock for the country’s economic future. Whilst many Libyans are supported by the government to seek higher educational qualifications and training overseas, there is a growing demand for international training providers to introduce their expertise to this important market. This is reinforced by the government’s recent announcement for the release of 400,000 government employees backed by generous incentives in order to stimulate the private sector. This alone will create huge opportunities in the area of education and training and the ongoing development of human resources.

Healthcare - recruitment and training of high importance

Libya’s healthcare system provides adequate treatment both in the public and private sectors. However, there is a need for an improvement in service which can only be achieved by the procurement of new and modern equipment and facilities backed by qualified technicians to maintain it, also the recruitment and training of health workers. The human resources element of the healthcare sector is of high importance.

Information and communication technology - fastest growing sector

The need for information and communications technology is integral to all of Libya’s development plans and if the country is to expand its economy it has to enhance its IT infrastructure, technologies and links. Libya is at the heart of North Africa, the fastest growing telecoms market in the MENA region which is set to reach US$13.4 billion in 2008, with the Mahgreb area showing the most significant growth.

Commerce - access to new sources of capital is vital to development

For Libya’s economy to develop and prosper the country needs to modernise its business and professional sectors, in particular in the area of financial and legal services. Libya is also planning to open its market to international investment banks so that the country can engage foreign capital in facilitating the large-scale infrastructure projects which are on the drawing board.

Agriculture - GMMR key to food security

After oil, agriculture is the largest sector in Libya’s economy employing 17% of the country’s labour force but output has been limited due to low rainfall and poor soil conditions. However, this is set to change as a direct result of the Great Man Made River Project which is planned to bring a further 200,000 hectares of land into cultivation enabling Libya to take a big step towards food security. This will stimulate the agri-industry sector providing opportunities for international exporters of agricultural and irrigation equipment and farm inputs, as well as food commodities and food processing and packaging technology.

Tourism - huge potential

With nearly 2,000km of unspoilt coastline, spectacular desert and World Heritage Sites, Libya is becoming increasingly attractive and accessible for heritage, desert and resort tourism, as well as being a growing destination for the international business community. Tourism development is the first priority after the oil and infrastructure sectors and is dependent on good communications, transport and hotel facilities, all of which are featured in Libya’s infrastructure plans. Dramatic growth in hotel construction is forecast to increase the number of beds to 10,000 by 2010 as part of a US$7 billion tourist development plan.