Libya’s New Money - Interesting conversation happening in the comments section of the Shabab Libya page, mostly in regards to the use of English and the fact that the bills were printed abroad.
Reuters has a story on the withdrawal of old bank notes:
“The bank is asking the Libyan banks to accept or facilitate the handover by accepting the fifty dinar banknotes,” he said.
This measure is an indication that the Central Bank wants to return confidence to Libya’s banking system, which suffered severely during the civil war that ended ex-leader Muammar Gaddafi’s 42-year rule.
The bank’s deputy governor, Ali Mohammed Salem, told Reuters last month that the central bank’s major concern was to restore liquidity in the Libyan banking system, which was depleted of its dinar reserves when Gaddafi’s entourage seized 3-4 billion dinars ($2.4-$3.2 billion) from the central bank. They also seized 2.3 billion dinars worth of gold, he said.
The problem was made worse when people rushed to the banks during the war, withdrawing 7 billion dinars, Salem said.