Libya and China strengthen financial cooperation, agree on CIPS participation and bond market entry
via Libya Herald3 min read
The Central Bank of Libya CBL Governor, Naji Issa, and his delegation met with Pan Gongsheng, Governor of the People's Bank of China, in Beijing to enhance financial and banking cooperation. Key outcomes include the formal agreement for Libyan banks to participate in the Cross-Border Interbank Payment System CIPS, China's official infrastructure for clearing and settling cross-border transactions in Chinese Renminbi. This move aims to streamline trade and financial transactions between Libya and China. Additionally, an agreement was reached for Libya to diversify its investments by entering the Chinese bond market, aligning with the CBL's strategy to optimize investment portfolios and reserve management. The meeting also explored leveraging China's experience in financial sector infrastructure, digital payment systems, and modern financial technologies to modernize Libya's banking services. Both sides emphasized ongoing coordination and expertise exchange. They also agreed to launch the inaugural Libyan-Chinese Banking Forum in early 2027, alongside the China-Africa Forum, to foster investment partnerships. These developments follow earlier discussions between the governors in Washington D.C. in April 2026 and a meeting between Governor Issa and China's Ambassador to Libya, Ma Xueliang, in Tripoli.
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This summary was AI-generated from a story originally published by Libya Herald.
Hassan Mohamed Bin Rabha, Director of the Asia and Australia Affairs Department at the Ministry of Foreign Affairs, met with Ma Xiu liang, Ambassador of China to Libya, in Tripoli. The discussion focused on strengthening Libyan-Chinese relations, particularly in economic, investment, and development sectors. They explored expanding bilateral cooperation and encouraging Chinese companies to resume projects and find new investment opportunities in Libya. China's decision to lower its travel advisory for Libya was welcomed, seen as a reflection of improving security and a step towards encouraging Chinese businesses. Both sides exchanged views on regional and international issues and reaffirmed their commitment to regular communication and coordination to advance their strategic partnership. Libyan-Chinese relations have developed rapidly, especially since China appointed an in-country Ambassador in February. Recent engagements include the Central Bank of Libya Governor meeting his Chinese counterpart and Ambassador Ma Xiu liang, leading to agreements such as Libya joining the CIPS payment system and investing in Chinese bonds. Ambassador Ma Xiu liang also affirmed China's commitment to supporting new projects and services between the two countries.
The General Electricity Company of Libya GECOL announced that new generation units are nearing production and will contribute over 600 megawatts to the national grid. This initiative aims to boost production capacity and stabilize the electricity supply. The additional power will come from three stations: a 250 MW gas unit at the Zueitina plant, a 220 MW gas unit at the Zawia plant, and a 160 MW gas unit at the Ubari plant. This development follows a period of increasing power cuts and organized load shedding across Libya since June. The Tripoli government has prioritized supplying electricity to domestic users over industrial consumers, a policy that has impacted sectors like cement production and led to increased cement prices.
Masoud Suleiman, Chairman of Libya鈥檚 National Oil Corporation NOC, met with Jeremy Berndt, Charg茅 d'affaires at the U.S. Embassy in Libya, in Tripoli. Their discussions focused on the future of Libya鈥檚 oil sector, including the unified development spending agreement, challenges faced by U.S. companies regarding outstanding debts, and developments concerning the Waha concession agreement with Total and ConocoPhillips. Suleiman emphasized the importance of implementing the Waha project to boost production and strengthen partnerships. He also highlighted ongoing efforts with international partners to promote transparency, support the oil sector's stability, and open investment opportunities. It was noted that Suleiman often uses his personal social media to publish NOC news, a practice not mirrored by the official NOC Media Department, which typically republishes posts from its subsidiaries but not from its chairman's personal page.