Libya : supporting the private sector and improving the business climate
Since 2011 and following the Arab Spring, Libya has been through a period of political instability with major economic consequences. Today, the country remains marked by this difficult context which bears heavily on the country’s economy and poses problems for the employability of young Libyan men and women. Developing a dynamic private sector and improving the business climate are crucial issues for the country’s recovery.
In December, the European Union and Expertise France presented the results of the EU4PSL project in support of private sector development. Over the past four years, the project has contributed to to createe a better business environment, providing new job opportunities throughout Libya, especially for youth and women, and has contributed to facilitate financing opportunities for business owners and worked to spread the culture of entrepreneurship and include it in the curriculum of higher education in Libya.
Better institutional services and easy access to support for businesses
EU4PSL worked with the Ministry of Economy and Trade, chambers of commerce and other economic institutions to help create a supportive business environment in Libya. A new online portal called eJraat simplifies business creation procedures and provides a step by step guide to administrative procedures and was launched in partnership with the United Nations Conference on Trade and Development (UNCTAD). The involved stakeholders are now taking it a step further by working with the General Commercial Registry on creating a single online window for business registration and other business services.
In partnership with the International Trade Centre (ITC), Libya was integrated in the Euromed Trade Help Desk portal for facilitating trade and investment in the EU and the Mediterranean region.
EU4PSL worked with the Chambers of Commerce and General Union of Chambers of Commerce to develop their advisory and advocacy functions. A large national survey identified the profiles and needs of Libyan enterprises in terms of business knowledge and support services, along with operational recommendations to help the government and international donors better shape their economic support to Libya.
The first Chambers of Commerce White Book lists the top common reform priorities identified by Libyan enterprises owners and managers with concrete proposals for improvement.
Economic empowerment of women and youth
In partnership with local CSOs, EU4PSL held three national women entrepreneurs contests in which €120,000 of grants were disbursed to 36 winners; more than 90 jobs were created as a result of the development of the winning businesses.
The involved CSOs have also teamed up with universities to organize entrepreneurship training boot camps that were delivered to 360 of their students. Top innovative ideas were then selected to participate in 3 national student contests receiving significant financial awards from local sponsors.
A 6-month business acceleration program called Boost it mentored 19 emerging start-ups from 6 different Libyan cities. The participating start-ups received €153,000 in financial support. 84.6 % of them reported an increase in their revenue.
Entrepreneurship streamlined within education curricula
EU4PSL, together with Lyon 3 university, developed an accredited entrepreneurship module that is now being taught at 9 Libyan universities. The delivery of this module was made possible thanks to the training and coaching of 44 professors across the country with the support of the South Mediterranean University (SMU) in Tunis.
Entrepreneurship and Innovation units were also created within 11 universities. The staff of these units were coached on how to run practical incubation programmes to support undergraduate students to upgrade their skills and start their careers.
Eight Junior initiatives were created inside partner universities promoting entrepreneurial skills among students and closing the gap between their academic studies and the labour market. EU4PSL has also initiated work with the Ministry of Higher Education and Scientific Research on a national roadmap for supporting entrepreneurship within higher educational institutions and bridging the gap between graduates and the labour market in collaboration with the Mediterranean Universities Union (UNIMED).
After the successful completion of the EU4PSL (2019-2023) and its preceding project, SLEISDE (2016 -2020), the European Union will continue to support private sector and economic development in Libya through the E-NABLE project (2022-2025), implemented by Expertise France. E-NABLE focuses on economic diversity, sustainability, and digital governance in Libya.
Our projects to support economic development in Libya
RAQAM E – Promoting the economic integration of young people and women in Libya
2020-2023 – €1.5m (French State)
Raqam-e aims to promote the economic integration of young people and women and to strengthen Libyan public actors. To this end, it supports the government and municipalities in creating coding schools and train municipalities’ employees.
Find out more about RAQAM-E
EU4PSL – Supporting the improvement of the business climate in Libya
2019-2023 – EUR 10m (European Union)
The EU4PSL project aims to improve the environment to make it more conducive to business. By establishing close partnerships with the Ministry of Finance and relying on the mobilisation of economic actors and civil society organisations, Expertise France seeks to build the capacity of institutions to support the economic development of the country.
Find out more on the EU4PSL project sheet and at www.eu4psl.org.
E-NABLE – Working towards a resilient Libyan economy
2022- 2025 -EUR 5M (European Union)
E-NABLE aims to improve the capacities of key economic institutions for sustainable, diversified, and digital economic recovery to institutionalize the private sector's economic growth with the support of both private and public sector organizations.
Find out more on the E-NABLE project sheet and at www.e-nable.ly
PAMRI – Technical assistance to the tax Administration
2020- 2023 -EUR 0.9M (French State)
PAMRI aims at improving domestic public revenue mobilization to enable the Libyan state to finance its essential public services, and to foster the economy's resilience.