Libya's Eastern Parliament Appoints Fawzi Abu Khazam as Central Bank Governor

Libya's eastern parliament has appointed Fawzi Abu Khazam as the Governor of the Central Bank of Libya (CBL) following the resignation of former governor Naji Issa.

The appointment was announced on Monday, November 2, by a spokesperson for the House of Representatives based in eastern Libya. The parliament said it had accepted Issa's resignation before confirming Abu Khazam as his successor.

The Central Bank of Libya has been at the centre of the country's long-running political division. Since 2014, Libya has been split between rival administrations in the east and west, each backed by different armed groups, leading to competing claims over control of the central bank, which manages the country's vast oil revenues.

Naji Issa had been appointed in recent months as part of efforts to unify the bank and resolve a leadership crisis that last year triggered a sharp drop in oil production and a devaluation of the Libyan dinar. His departure now raises fresh questions about the stability of that fragile compromise.

The eastern-based House of Representatives, which is aligned with commander Khalifa Haftar's Libyan National Army, has repeatedly made unilateral appointments to key state institutions, moves that are often contested by the internationally recognised Government of National Unity in Tripoli.

It was not immediately clear whether the Tripoli-based authorities would recognise Abu Khazam's appointment or whether the move would affect ongoing negotiations over oil revenue management and monetary policy.

The Central Bank of Libya plays a critical role in managing the OPEC member's oil wealth, paying public salaries nationwide, and maintaining financial stability in a country still struggling to hold national elections after more than a decade of conflict.