The prospects for greater participation by the private sector and foreign interests are slowly improving. Last week's news that Germany will make available a €100 million to the rebels – to be fed into the Libyan system through German exports of goods and services – will enhance the position of these two sectors.
Similar pledges of financial help have been received from other NATO members, which in aggregate amount to a significant sum of credits available to the rebel economy. It must be acknowledged, however, that the bulk of funds will inevitably drain away into the purchase of armaments.
The withdrawal of the Treaty of Friendship with Italy indicates that any new developments in foreign supplies could be surprising, given the threat made by Qadhafi to penalise those who supported the bombing of Libyan territory.
The security of foreign personnel and assets is notably closely bound up with the intensity of the war. Signs indicated that the war will persist and wreak more havoc in the near future if the Transitional Nationa Council engages in a frontal assault on the mountains of Jabal Nafusa and the Jafara.
For more news and expert analysis about Libya, please see Libya Focus and Libya Politics & Security.
© 2011 Menas Associates
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