Bouzaakouk criticises draft unified salary scale
LIBYA – Khaled Bouzaakouk, an economic analyst and head of the Benghazi Forum for Economic Development, said the unified salary scale put forward by the Government of National Unity was still a draft decision that, in his view, would not take effect until the House of Representatives approves it.
Pay disparities versus falling purchasing power
In comments to Erem Business, Bouzaakouk said the scale could remove pay differences between holders of the same grade in different bodies, but would not guarantee a decent living while inflation persists. He expected it to meet opposition from some of those staging sit-ins in the education and health sectors.
LYD 73.3 billion and around 3 million employees
He noted that the salary bill had reached LYD 73.3 billion as a result of what he described as overstaffing, with around 3 million employees and workers, public-sector staff making up about 80 per cent of the total workforce, against weak productivity and a limited role for the private sector.
Fears of sit-ins at government bodies
He warned that bodies already enjoying financial privileges, such as the Audit Bureau and the Administrative Control Authority, might object to the scale being applied, which could drag the country into an ongoing series of sit-ins and shutdowns.
Proposals to reform spending and the exchange rate
He said the alternative was to strengthen the dinar’s purchasing power and lower the dollar rate, regulate imports and curb inflation, rationalise spending by both governments until a unified government is formed, raise domestic revenue from taxes, fees and customs duties, and diversify an economy that, he said, relies on oil to fund about 90 per cent of the budget and wages.
