European Commission
MEMO
Brussels, 20 March 2013
ENP Package – Libya
Since the Revolution in 2011,
Libya has made significant progress on the path of democratic transition
as witnessed, among others, by the first ever free elections in July
2012. Important challenges however remain, with security being the most
pressing concern. The EU is a key partner supporting Libya in the
transition process through a comprehensive programme focusing on support
to public administration, migration, civil society, social services and
security. The EU will seek re-launching negotiations for a
comprehensive agreement with Libya normalising relations in a mutually
beneficial legal framework.
No Country Progress Report is prepared for Algeria since no ENP Action plan is in force.
Political situation and latest developments in EU relationship with the Country
After the events in 2011, Libya
made in 2012 the first steps on the path of the democratic transition
process. After 42 years of dictatorial rule, an institutional, mental,
legal and societal reset was required, a process that is still ongoing and will require sustained international support.
The EU has accompanied this
process from the very first moment. The EU's aim in Libya is to support
the transition to a democratic, stable and prosperous Libya. More
specifically this involves promoting “deep and sustainable democracy”,
based on strong, transparent and accountable institutions and a vibrant
civil society. In the area of stability and security it involves
addressing the root causes of conflict and promoting the integration of
Libya within the region and the world at large. In this regard support
for the diversification of the economy and the creation of employment
and trade opportunities will be critical. The EU will seek an agreement
with Libya (drawing on the Association Agreements concluded with
neighbouring countries) in order to formalise and normalise our
relations in a mutually beneficial legal framework.
In terms of democratic transition,
the elections of 7 July 2012 were no doubt the highlight of the year
when the Libyans went to vote for the first
time in more than four decades to elect their constituent assembly. The
EU Election Assessment Team (EU EAT), deployed in the country to cover
this historic elections, concluded that the electoral process had been
efficiently administered, pluralistic and overall peaceful.
Following the elections Mohamed Yousef el-Magarief was elected President of the General National Congress (parliament) of Libya in August 2012. In this role, he is Libya's de facto head of state.
The General National Congress rejected the government line-up as
proposed by the Prime Minister elect Abushagur after which Ali Zeidan
was elected as the new Prime Minister in November. The swearing in of
ministers took until end January as all had to undergo a vetting process
by the Integrity Committee. As a result of these delays, policy making
on essential dossiers was delayed including the drafting process of the
Constitution.
Over the current year, the new government’s key challenges
will be security, consolidating the rule of law, kick-starting the
constitution-drafting process, ensure full respect of human rights and
national reconciliation.
Security
is the main challenge, as security problems include opportunistic
kidnappings, revenge killings, provocation attacks and bombings,
inter-communal fighting and a sharp increase of common crime. The
government started to address these concerns by e.g. declaring the south
of the country a closed military zone and formally shutting the
southern borders. A demobilisation and integration process of militias
is being implemented, albeit with serious difficulties.
The relations
between Libya and the EU are very positive. In 2012 the first EU Head
of Delegation arrived in Tripoli, together with permanent staff for all
core functions, including the coordination of EU and member state
support to the country.
The EU is actively supporting the authorities in a wide range of areas. Regarding security, and in conjunction with the actions listed below under cooperation, the EU is preparing the deployment of a civilian CSDP border management mission to Libya.
The EU will continue the discussions aiming at Libya’s full participation in regional cooperation. In January 2013 Libya announced its decision to join the Union for the Mediterranean as observer.
During 2012 several human rights violations have been cause of concern. Despite the governments public commitment to bring detention centers under central control, limited progress has been achieved. Continuing reports of torture, illegal detention and executions against migrants, particularly against those of Sub Saharan origin, have been issued by civil society and International organisations. (Amnesty International, International Federation for Human Rights and Human Rights Watch). According
to the Libyan Humanitarian Agency there are approximately 72,000
Internally Displaced People (IDP) throughout the country. UNHCR has
reported cases of mistreatment against IDPs.
Death penalty is still formally in force in the State of Libya although it has not been applied since the collapse of the former regime.
The cooperation of the Libyan authorities with the International Criminal Court (ICC) regarding the cases of Saif al-Islam and Abdullah
al-Senussi, both subject to an arrest warrant issued by the ICC
following the adoption of UNSCR 1970, still constitutes an issue.
There was some progress made in the reactivation of the judicial system.
While most judges and prosecutors have reported back to duty, in most
parts of the country, court sessions are not held on a regular basis.
Despite an increase of women political participation
in Libya during 2012 (33 seats have being awarded to women at the
General National Congress following the July elections) discrimination
and violence against them remains a challenge.
Economic and social issues
The conflict in 2011 led to a sharp economic decline in Libya. The temporary disruption in oil production
(that accounts for more than 70% of GDP) generated a 60% contraction of
the economy. However, the economic shock has been largely reversed. The
oil production has recovered faster than expected and by the end of
2012 it had reached pre-revolution levels.
With the security situation featuring so prominently on the agenda, thus far little attention was paid to the diversification of the economy and job creation.
These are however important and enormous challenges as the Libyan
economy is for over 90% dependent on oil and gas and youth employment is
at dangerously high levels.
Health and education
services are slowly recovering, providing basic services in most areas
in the country. Enhancing the quality of these services and ensuring
their inclusiveness are among the challenges.
Corruption
was always a major concern in Libya under the previous regime (Libya
ranked 146 out of 178 on the Transparency International Index in 2010).
The Libyan authorities have indicated their commitment to enhancing
transparency in all sectors.
The World Bank and the IMF carried
out an assessment of Public Finance Management in 2012. An article IV
mission took place in early 2013.
Trade-related issues
The EU is the main trading partner
with Libya accounting for 70% of its total trade which amounted to
approximately EUR 35.5 billion in 2010 and this is not expected to
change after the events in 2011.
The regulatory framework existing in the oil/gas sector
remains rather opaque and was in the past often surrounded by
accusations of corruption. Trade in non-hydrocarbon related goods is
limited but offers interesting growth potential.
Some EU member states have outstanding claims for goods or services delivered under the old regime. The EU hopes to see those claims addressed by the Libyan authorities.
The investment rules
in Libya do no provide for 100% ownership by foreign companies. There
is considerable unease about these provisions with EUMS companies.
EU Cooperation
Over the last year the EU
delivered on its commitment to support the Libyan people in their
transition towards democracy. In a first phase, the EU launched
immediate actions to address urgent needs and to support the
stabilisation priorities of the authorities. This was followed by a
comprehensive package of projects with a longer-term perspective. The
EU's total programme in Libya now stands at € 79 million focussing
on public administration, security, democratic transition, civil
society, health, vocational training and education. This is in addition
to €80.5 million disbursed to provide humanitarian assistance during the
conflict phase in 2011.
(1) Security. This
is clearly a key issue, affecting the lives of Libyan citizens and
impacting on economic development. The main EU programmes in this sector
include:
i. Security Sector Reform and Rule of Law programme (€ 10 million).
ii. Support for "Capacity building for crisis response and crime investigations" (€4.3 million).
iii. Supporting the Libyan authorities
on physical security and stockpile management (PSSM) of conventional
weapons and ammunition (€ 5 million).
iv. Clearance of unexploded ordnances to create a safe and secure environment (€ 5 million).
(2) Economic recovery will be promoted by better Technical Vocational Education and Training
(TVET). A TVET programme (€ 6.5 million) will improve the quality of
the training on offer as well as their relevance to the demands of the
labour market. In addition, reintegration of unemployed could help
support integration of former fighters.
(3) Health,
the EU has always considered the health sector in Libya as a priority
for future assistance. Additional EU assistance in this area (€ 8.5
million programme) will address both immediate service delivery and
quality improvement of the sector.
(4) Public Administration and Democratic transition: support to the National General Congress and to the drafting of the Constitution.
(5) Migration: The EU is
implementing five programmes, bilateral and regional, which started
pre-revolution for a total of € 19 million to support the government in
dealing with migration flows and assistance to the migrants (e.g.
voluntary repatriation). An additional programme (€10 million) started
end of 2011 to stabilise at-risk communities and enhance migration
management.
(6) Protection of vulnerable groups (€ 4 million) by developing effective
protection systems for vulnerable groups, including minorities and
migrants, and strengthening the capacity of national and local
authorities and non-state actors to meet their particular needs.
In 2013, additional support (€25
million) will be made available, focusing on economic development and
trade, migration, protection of vulnerable people.
The EU will also continue its support to civil society (€3 million).
Civil Society: role and EU support
Independent civil society
organisations were not allowed to play a role under the old regime. This
has now drastically changed; the new Libyan Authorities consider civil
society as an important element of the democratic transition process and
actively promote civil society actors. Libyan civil society actors
eagerly used this opportunity to get organised and participate in the
transition process.
The EU has embarked on a
significant and comprehensive series of programmes supporting both the
development of the institutional dimension of the civil society sector
and the capacity building of civil society organisations. This includes
creating a conducive environment for the sector and promoting policy
dialogue with national and local authorities. "Civil Initiatives Libya"
has set up four training centres (Benghazi, Tripoli, Misrata and Sabha)
to provide essential resources (meeting rooms, IT equipment, etc),
information and most of all a central meeting point where civil society
can share ideas. Over 1200 participants (40% women) have attended
training courses in these centres.
To promote partnerships between Libyan
and European NGO's, the EU organised a 2 day EU-Libya civil society
forum in Tripoli and in Benghazi in May 2012. This forum also provided
information on how Libyan organisation can benefit from EU support.
The "European Initiative for Democracy and Human Rights" has funded activities in the areas of democratisation, women's rights, media training, support to torture victims, national reconciliation and capacity-building related to the elections.
The EU is the largest provider of support to Libyan civil society with interventions across most parts of the country.
EU–Libya – BACKGROUND
FACTS AND FIGURES
October 2007: Council decision to
start the process of negotiating a Framework Agreement with Libya.
November 2008: launch of negotiations.
June 2010: Signing of Memorandum
of Understanding for providing EUR 60 million of financial assistance to
Libya for the 2011-2013.
26 February 2011: the UN Security
Council adopted resolution 1970 (2011) imposing travel bans, asset
freezes on Gaddafi and members of his close entourage.
17 March 2011: the UN Security
Council adopted the Resolution 1973 (2011) which authorised the use of
force against Libyan forces loyal to Col Gaddafi, in order to protect
Libyan civilians.
19 March 2011: Coalition
intervention for the implementation of the UNSCR 1973. NATO took over
the whole military operation in Libya on 30 March 2011.
21 -24 August 2011: Liberation of Tripoli, opening of EU office in Tripoli
23 October 2011: Day of Liberation.
7 July 2012: Constituent Assembly elections.
9 August 2012: Transfer of power
from the National Transitional Council to the Libyan General National
Congress (GNC) and dissolution of the former. Appointment of Mohamed
Yousef el-Magarief as President of the GNC and Libya’s de facto head of state.
November 2012: Government takes office with Ali Zeidan as Prime Minister
Current GDP: US$ 77.7 billion (2012, IMF estimates) o. w. about 70% from hydrocarbons
GDP per capita: US$ 11.800 (2012, IMF estimates)
Total exports: US$ 46.1 billion, o. w. hydrocarbon US$ 44.6 billion (2012, IMF estimate)
Total imports: US$ 29.9 billion (2012, IMF estimate)
Unemployment: 21% (2009) public sector employs over 1 million people, 50% of work forceeuropa.eu
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