The African Group A3, comprising the Democratic Republic of Congo, Somalia, and Liberia, has called for a comprehensive and independent audit of the frozen assets of the Libyan Investment Authority (LIA). This demand aims to establish the value, location, and status of these assets while enhancing transparency in their conservation. The audit is crucial in determining the initial capital, accrued interests, conservation fees, and any changes in value.
The international community has imposed measures on the LIA and Libyan Africa Investment Portfolio (LAIP) assets held outside Libya before September 16, 2011. The African Group is concerned about potential erosion of these assets' value due to mismanagement or irregular use. However, no quantified assessment of losses has been provided. An audit would help clarify the responsibilities of the depositary institutions and distinguish between the initial capital, accrued interests, conservation fees, and changes in value.
The UN Security Council Resolution 2769, adopted in January 2025, allows for the reinvestment of certain frozen LIA liquid assets into low-risk term deposits and fixed-income instruments. This reinvestment is subject to strict conditions, including approval from the Sanctions Committee. The reinvested funds and their revenues remain frozen. This resolution aims to preserve the economic value of these assets over time.
The African Group's concerns focus on the risks associated with the management of these frozen assets. The group's demands are driven by the need for transparency and accountability in the handling of these assets. The Libyan Investment Authority's assets have been frozen since 2011, and their management has become a critical issue.
The UN Security Council Resolution 2819, adopted in April 2026, emphasizes the importance of cooperation between states and financial institutions in establishing an inventory of the frozen assets. This resolution aims to ensure that the assets are properly managed and their value is preserved. The international community is working to strike a balance between the need to freeze these assets and the need to ensure their value is maintained.
The frozen Libyan assets have significant implications for the country's economy and its people. The African Group's call for an independent audit is a step towards ensuring that these assets are managed transparently and accountably. The audit will help to clarify the current status of the assets and identify any potential risks or challenges associated with their management.
The international community's efforts to manage the frozen Libyan assets are ongoing. The African Group's demands for transparency and accountability are critical in ensuring that these assets are preserved for the benefit of the Libyan people. The UN Security Council's resolutions have provided a framework for the management of these assets, and it is essential that these resolutions are implemented effectively.
Key points
- The African Group A3 is demanding an independent audit of the frozen assets of the Libyan Investment Authority to ensure transparency and accountability in their management.
- The UN Security Council has adopted resolutions to manage the frozen Libyan assets, including allowing for their reinvestment into low-risk instruments.
- The frozen Libyan assets have significant implications for the country's economy and its people, and their management is a critical issue.
