Tripoli’s vast oil reserves, managed by the National Oil Corporation (NOC), have become a focal point for illicit activities, exacerbating political rivalries and national instability. Both the eastern administration, aligned with Khalifa Haftar, and the Tripoli-based government under Abdul Hamid Dbeibah, are implicated in these operations. The eastern faction has permitted private entities like Arkenu Oil Company to export oil independently, bypassing official channels and generating over $600 million in revenue. Concurrently, the Tripoli government struggles to curtail fuel smuggling, with subsidized gasoline sold at 0.150 Libyan dinars per liter fueling black market activities. These smuggling networks, involving armed groups and international collaborators, undermine economic stability and hinder efforts toward national unity. International initiatives, such as the EU’s Operation Irini, have had limited success in curbing these illicit trades, highlighting the complex interplay between economic incentives and political fragmentation in Libya.
Source: FT