Al-Werfalli makes changes to fuel subsidies conditional on guaranteed compensation
LIBYA – Mohamed Al-Werfalli, a professor of economics at the Libyan University, has said that reforming the fuel subsidy system has become an economic necessity because of the sums it consumes and what he sees as the smuggling and exploitation of price differences linked to it.
How reform is implemented matters more than the decision to lift subsidies
In exclusive remarks to Al Arabiya.net, Al-Werfalli said the problem lies not in lifting subsidies as such, but in how the reform is carried out and what alternatives are offered to citizens.
He stressed that moving to cash support requires practical guarantees that compensation reaches those entitled to it and that its value matches the new fuel prices, with scope to review it whenever the cost of living rises.
