A senior source at the Central Bank of Libya (CBL) revealed in an exclusive statement to Libya Herald that the bank injected a total of approximately US$ 6 billion in foreign currency during May and June 2026, equivalent to about 38 billion Libyan dinars, confirming that, according to the CBL, these amounts cover current market needs with a surplus.
The dinar was trading at LD 8.50 per USD in the black-market yesterday – way above the CBL’s target of around 6.90 - or a few points from the official LD 6.60 exchange rate.
The source said the CBL is monitoring developments in the foreign exchange market daily. The source indicated a state of relative stability in the market, despite the continuation of some speculative activity based on rumours and speculation related to political and financial developments and oil prices.
The source explained that the movements witnessed in the parallel market do not necessarily reflect fundamental economic indicators. He pointed out that the strength of the Libyan dinar is linked to a range of economic factors, primarily oil production levels and prices, in addition to the efficiency of public finance management, control of government spending, and diversification of national income sources.
The source emphasized that the CBL's role is to manage the exchange rate and maintain its stability in line with the strength of the economy and available resources. He clarified that the true value of the national currency remains tied to the overall economic performance of the country.
He indicated that the bank is currently working on implementing several measures aimed at strengthening the stability of the exchange market, including expanding channels for providing foreign currency, addressing existing distortions in the market, and making available new instruments that contribute to meeting the increasing demand for foreign currencies.
Further measures to be taken to curb unjustified speculation
He added that the bank intends, in coordination with the relevant authorities, to take further measures to curb unjustified speculation that affects market stability, thereby contributing to strengthening confidence in the banking sector and supporting exchange rate stability in the coming period.
Queues outside banks distributing cash dollars
It will be noted that Libya Herald witnessed several queues outside certain banks, including Nuran bank in Tripoli Tower, distributing cash dollars yesterday. However, many sources complained that the CBL is not distributing dollar cash allocations fast enough – to the extent that it reduces the dinar’s black-market FX rate.