Decision 425/2022: Approval of Government Expenditure Budget for Fiscal Year 2022

The Council of Ministers approved total government expenditure of LYD 86.09 billion for fiscal year 2022, distributed across salaries (LYD 46.6B), operating expenses (LYD 9.8B), development projects (LYD 7.4B), and subsidies (LYD 22.3B). The Ministry of Finance is authorized to disburse these amounts to administrative units, with expenditures covered by government revenues under existing legislation.

This decision provides clarity on the government's spending priorities and fiscal capacity for 2022, with 54% allocated to salaries and 26% to subsidies, leaving limited room for development expenditure (8.5%). Foreign contractors and suppliers should note that the LYD 7.4 billion development allocation represents potential procurement opportunities, though execution risk remains high given Libya's fiscal constraints and competing priorities. The substantial subsidy allocation (LYD 22.3B) suggests continued government support for fuel and commodity prices, which affects operational cost structures.