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Libya’s Presidential Council abruptly dismissed Sadiq al-Kabir, the governor of the Central Bank of Libya, on Monday, a move that threatens to exacerbate tensions in the deeply divided North African country, the Associated Press reported.
Al-Kabir, who had led the bank since October 2011, was replaced by Mohamed Abdul Salam al-Shukri, an economist and former deputy governor, according to a decree issued late Sunday.
The Central Bank, which handles billions of dollars in oil revenue and foreign reserves, has been at the heart of the country’s conflict since 2014 when it splintered along political lines.
Libya remains split between an internationally-recognized government in Tripoli and rival authorities in the east, supported by military commander, Field Marshal Khalifa Haftar.
The bank’s headquarters remain in Tripoli, but an eastern branch also operates in Libya’s second-largest city, Benghazi.
Al-Kabir’s dismissal prompted criticism from Libya’s east-based parliament, while the Supreme Council of State in Tripoli swiftly condemned the move as illegitimate. The two bodies hold the authority to appoint the heads of sovereign institutions, such as the Central Bank, according to the country’s constitutional framework.
Adding to the turmoil, the bank suspended all operations Sunday after unknown assailants kidnapped its information technology director, Musab Msallem, from his home in Tripoli. The institution has refused to resume operations until Msallem is safely released, the BBC added.
The kidnapping comes a week after the bank suffered a siege by armed men who called for al-Kabir’s resignation, citing dissatisfaction with his management of oil revenues and the state budget.
The upheaval at the Central Bank is emblematic of Libya’s ongoing instability, which has persisted since the 2011 NATO-backed uprising that resulted in the deposing, and ultimately the death of longtime autocrat Muammar Gaddafi.
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