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SMEs in Libya's Reconstruction

Preparing for a Post-Conflict Economy

image of SMEs in Libya's Reconstruction

The report is intended to contribute to the implementation of policies in a post-conflict Libya to promote private sector development. The report analyses the structural economic and framework conditions prevalent in Libya, highlights potential drivers of development and considers the role of SMEs and entrepreneurship promotion in driving post-conflict recovery. Based on international experience and practices, and considering the context of the country, the report identifies the necessary legal frameworks, institutions and policies for the promotion of SME and entrepreneurship. The document is part of a wider MENA Transition Fund project to support the design and implementation of SME policies in Libya.

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Recommendations for SME policies in post-conflict Libya

This chapter provides recommendations to support SMEs and entrepreneurship in post-conflict Libya, building on the analysis of the previous chapters. There are many areas that require improvement, but policy makers should prioritise and adopt a realistic approach, paying particular attention to the sequencing of reforms. In the short term, policies should focus on rebuilding the fabric of SMEs in the country. In the longer term, it should promote economic diversification and support SMEs grow and operate in more competitive sectors. The chapter discusses the possibility of developing an SME strategy, and it includes guidance on the process.

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