Housing Finance in Libya


This profile is also available in French here.

To download a pdf version of the full 2023 Libya country profile, click here.

In 2021, the population of Libya was estimated to be 6.9 million, a very small number given that 95% of the country consists of arid, flat plains that make settlement challenging. As of June 2022, there are around 800,000 individuals in need in Libya, as well as over 44,000 registered refugees and asylum-seekers. Insufficient funds and safety concerns impede a safe and dignified homecoming.

Political instability and security challenges have endangered the economic recovery of 2021. The price of vital items (food and beverages, housing, power, gas and other fuels, and transportation) increased by 2.8% in 2022. A fiscal deficit of 32.7% of gross domestic product (GDP) in 2020 has been transformed into a surplus of 10.3% of GDP in 2021 due to the exchange rate devaluation, increased oil output, and skyrocketing international oil prices.

The Libyan Central Bank listed 21 commercial banks in the country in 2022. State-owned banks dominate the banking system, with CBL owning five of them. Jumhouria Bank, National Commercial Bank, Sahara Bank, and Wahada Bank hold 90% of deposits and the majority of loans as of 2017. These banks’ supremacy is attributable to the channelling of government employee wages and other secret benefits. In 2018, banking system assets totaled LD124 billion (US$25.69 billion), with loans and credit accounting for 13%, or LD16 billion (US$3.31 billion). The total value of mortgages given by the bank in 2011 was LD5 745.7 million (US$1 190.4 million).

The average monthly rent for a one-bedroom unit in the city centre is LD909 (US$188), while rentals outside the city are on average LD562 per month. Rental prices are rising beyond the means of the average household, while the minimum wage has remained unchanged since 2011.

Libya’s geography makes much of the country vulnerable to floods, sandstorms, dust storms, high temperatures, and desertification. Climate change and significant water scarcity threaten the economic development and long-term sustainability of Libya. Numerous Libyans, mainly refugees and IDPs, are living in terrible housing circumstances.

Libya has vast resources, a young population, and a favourable position. Real estate and hospitality offer many opportunities, including rebuilding war-ravaged communities. Luxury apartments, industrial buildings, warehouses, offices, and shopping centres are other property development prospects.

Find out more information on the housing finance sector of Libya, including key stakeholders, important policies and housing affordability:

Each year, CAHF publishes its Housing Finance in Africa Yearbook. The profile above is from the 2023 edition, which has up-to-date profiles for 55 African countries.

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