The Libyan Investment Authority welcomes Security Council decision to allow it to invest frozen assets

Tripoli, January 17, 2025 (LANA) - The Libyan Investment Authority welcomed the UN Security Council's decision to allow it to invest frozen assets, describing it as a step towards amending the measures to freeze Libyan assets to allow their reinvestment, and reflects its success in strengthening government and transparency, and adopting international standards for preparing consolidated financial statements.

The Authority explained, in a statement today, Friday, that Resolution No. 2769 of 2025 stipulated allowing it to "invest frozen cash reserves in time deposits with low-risk international financial institutions while they remain frozen with their returns," and the decision also guaranteed the Authority "to reinvest the accumulated cash with investment fund managers while it and its returns remain frozen."

The decision also included a review during the coming period of the remaining items of the plan to reinvest short-term frozen assets, which it had previously submitted to the Security Council at the beginning of last year, according to the statement.

The institution said that the decision reflects the "high confidence" it has built at the national and international levels, and its efforts over the past years to enhance governance, transparency and compliance with the Santiago Principles, "in addition to the institution's success in adopting international standards for preparing and auditing consolidated financial statements and adopting a clear strategy for asset management, which was reflected in strengthening the institution's position as a sovereign fund committed to the highest international standards."

The institution stressed that the Security Council's permission to reinvest frozen cash reserves came as a result of a joint effort with the Council's Special Committee on Libya over the past years to address the negative effects of the measures imposed on the institution's assets since 2011.

The institution sees this decision as a step in the right direction to amend the asset freeze measures, and allow their reinvestment to maximize their value, and protect them from the risks of erosion and loss of value, expressing its aspiration to cooperate with the Committee on Libya in order to adopt the remaining items of the plan to reinvest frozen assets "to achieve the goals and philosophy of imposing measures to freeze Libyan assets to preserve them for the benefit of the Libyan people."

The Foundation commended the understanding and cooperation of all member states of the Committee on Libya with the Foundation's efforts to address the negative effects resulting from the implementation of the freezing measures of Libyan assets, stressing that the Security Council resolution stipulated that these assets and the resulting revenues remain frozen in accordance with the freezing measures issued under the Council's resolutions, and that it does not seek to lift the freezing measures of assets but rather to reinvest them while they remain frozen.

The Foundation thanked the Head of the Government of National Unity, Chairman of the Board of Trustees, Abdul Hamid Dabaiba, for his support, and the Ministry of Foreign Affairs and International Cooperation and the Head and members of the Permanent Mission of Libya to the United Nations in New York for cooperating with the Foundation's efforts in this regard.

It also commended the distinguished efforts of its work team, which had great credit for achieving this accomplishment through its dedication and continuous contributions to strengthening the Foundation's position as a sovereign fund that enjoys the confidence of the international community, according to the statement.

Yesterday, Thursday, the UN Security Council adopted a resolution allowing the Libyan Investment Authority to manage its frozen assets without lifting the freeze, for the first time since 2011.

The Security Council resolution during its session held yesterday on Libya amended the freeze on Libyan assets to allow the reinvestment of some of the frozen assets to preserve their value so that they would benefit the Libyan people at a later stage.

The Security Council approved a British draft resolution renewing the mandate of the Panel of Experts of the Sanctions Committee on Libya.

The Security Council urged member states to provide technical assistance and training to Libyan security forces to enhance counter-terrorism efforts, secure borders, maritime security, and support unified security.

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