Doing Business in Libya Guide and FAQs

The LBBC led a delegation to Tripoli in November 2022 with the support of the British Embassy.  Security and transport were provided by a resident LBBC member from the Business Intelligence and Risk Advice sector.  Due to the FCDO Travel Advice, the LBBC had to take out bespoke travel insurance and the cost was high.  The LBBC advise business people travelling to Libya to make sure they obtain advice and security cover from a risk advisory firm – several are members of the LBBC: see here.

We can obtain the Visa Authorisation (letter of invitation) from Libya which you will need before you can submit your visa application at the Libyan Consulate in London. follow Libyan Business Visas page.

The visa process for Benghazi is different to that for Tripoli.  You do not need to get a visa from the Libyan Consulate in the UK but must obtain entry acceptance or security clearance from the Military Investment Authority before travelling.

Before you arrange your security clearance you must have your return flights and date of travel confirmed. 

You can arrange your security clearance through any local travel and tourism company in the east of Libya and cities in the region that are under the authority of the Libyan armed forces unless you are travelling on business, in which case the company or organisation you are visiting will arrange it..

The information you must supply includes the details page of your passport and your flight details including the airline.

The security clearance will be sent to you by WhatsApp or email and is a form which shows your nationality, where you are travelling from, the airline company name, the purpose of your visit, your passport number and full name written in your passport.  Please make sure this information is correct before you travel and that you have a copy of your security clearance when you travel.

Keep this copy with you at all times.

You will receive a stamp in your passport on entry but no visa.  The security clearance is all that is needed.

If you are travelling from another location in Libya such as Tripoli, and have a Libyan Visa in your passport, you will still require security clearance or a letter authorising your visit to Benghazi.  Check with the organisation you are visiting in Benghazi to make sure you have the correct paperwork before you travel.

You must be met by the organisation who has arranged your security clearance into Benghazi.

The visa process for Benghazi is different to that for Tripoli.  You do not need to get a visa from the Libyan Consulate in the UK but must obtain entry acceptance or security clearance from the Military Investment Authority before travelling.

There is a $500 security clearance fee that needs to be paid to the Military Investment Authority when you visit Benghazi – this applies to non-Libyan passport holders and is paid if you travel into Benghazi from another location in Libya.

Before you arrange your security clearance you must have your return flights and date of travel confirmed. 

You can arrange your security clearance through any local travel and tourism company in the east of Libya and cities in the region that are under the authority of the Libyan armed forces unless you are travelling on business, in which case the company or organisation you are visiting will arrange it..

The information you must supply includes the details page of your passport and your flight details including the airline.

The security clearance will be sent to you by WhatsApp or email and is a form which shows your nationality, where you are travelling from, the airline company name, the purpose of your visit, your passport number and full name written in your passport.  Please make sure this information is correct before you travel and that you have a copy of your security clearance when you travel.

Keep this copy with you at all times.

You will receive a stamp in your passport on entry but no visa.  The security clearance is all that is needed.

If you are travelling from another location in Libya such as Tripoli, and have a Libyan Visa in your passport, you will still require security clearance or a letter authorising your visit to Benghazi.  Check with the organisation you are visiting in Benghazi to make sure you have the correct paperwork before you travel.

You must be met by the organisation who has arranged your security clearance into Benghazi.

The Libyan Consulate is in the Basement office at 61-62 Ennismore Gardens, Knightsbridge, London SW7 1NH. Follow Kensington Road from Knightsbridge until you come to Ennismore Gardens on your left.

The British Embassy to Libya is closed but operates out of Tunis. Although Embassy officials regularly visit Tripoli, no consular assistance is available to British nationals in Libya. A Libyan member of the Department for International Trade (DIT) team is resident in Tripoli and can provide advice and practical (but non-consular) business support to UK firms.

See Useful Documents & Links in the News & Information drop-down menu on our Homepage or see Useful documents and links. Further up to date reports can be found in news.

In order to find a suitable Libyan Partner, it is important to visit the market and be guided either by the Commercial Section of the British Embassy, by the LBBC’s Local Consultant or by any other similar and credible source.

Due to travel restrictions an initial communication by email or phone is advisable.

LBBC Local Consultant, Omran Abusahmin, Email omranukti@gmail.com or Mobile 00218927061103

Libyans need a visa to visit the UK and should apply for a Standard Visitor visa by booking an appointment and submitting their application online at www.gov.uk/apply-uk-visa. It is vital that the application form is completed in full and that the applicant provides all the documents requested. Useful guidance can be found at:
UK visa guidance,
Visa Application Centre, Tunis,
Added Value Services offered at the Tunis VAC:
You can help your company’s clients by providing them with a letter of invitation on your official headed paper confirming who they will be visiting, staying with or supported by during their visit. 70% of Libyan visa applications are processed within 15 days but if their visit is genuinely urgent or the application process is delayed, we may be able to help expedite matters or obtain an explanation. If this is the case, contact secretariat@lbbc.org.uk. To help, we will need a reference number for the application, beginning with GWF.

Foreign companies must register with the competent authorities to operate in the country although this is not necessary if you are exporting goods direct to a Libyan client. A Libyan presence can take the form of a representative office, a branch or a joint venture with a Libyan partner (a representative office can engage in marketing but not commercial activity). Foreign investors may also establish investment enterprises under Investment Law 9 (2010) and these may be wholly owned or in joint venture with a Libyan partner. The Misurata Free Zone operates under a separate regime governed by (a different) Law 9 (2000).
But you should obtain legal and tax advice before starting a business in or with Libya. click here for details of law firms which are members of the LBBC.

Businesses are subject on a deemed profit basis to Corporation Tax of 20% plus Jihad tax of 4%. The deemed profit varies according to the business activity of the company. Also payroll and social security are applicable on the employees plus Jihad Tax of 3%. Stamp Duty (0.1% to 1%) is payable on subcontracts/main contracts, invoices and other documents but dividends are not subject to withholding tax. There is no VAT or sales tax.
The tax regime is complex and you should seek advice from an accountancy firm. LBBC members PwC have a fully functioning business practice in Tripoli offering tax advice to local and international clients

There are four primary methods of payment for international trade: cash-in-advance, Letters of Credit (LCs), Documentary Collections and Open Account. LCs are one of the more secure methods for international traders and most commonly used in trade with Libya. For general guidance see the BACB note .

In May 2021 the LBBC hosted a Banking Webinar on Documentary Credits in International Trade – Practical Issues, Risks and Challenges

• Click here to see further details about the LBBC Banking Webinar including the recording for more information.

The seminar explained:

– Banks deal with documents not goods
– How to avoid discrepancies
– The “autonomy principal” of Documentary Credits and regulatory compliance
– Avoiding the pitfalls
– Confirmed and unconfirmed LCs

Click here to see a copy of John Turnbull’s presentation and details about the speakers.

Click here to see further details about the LBBC Banking Webinar including the recording for more information.

Yes, Following publication of a Resolution by the Governor of the Central Bank of Libya on May 10, 2015, all goods and services imported to Libya will require a Certificate of Inspection. The Resolution regulates the use of foreign exchange for opening documentary letters of credit (L/C). With immediate effect all goods and services imported to Libya must present a Certificate of Inspection issued by an international inspection company, in order to be financed through a documentary L/C from a commercial bank.  For more detailed information, see this document, supplied by SGS, the world’s leading inspection, verification, testing and certification company.

OFSI has published a new blog post: an introduction to licensing. 

The Office of Financial Sanctions Implementation (OFSI) helps to ensure that financial sanctions are properly understood, implemented and enforced in the United Kingdom.

This blog explains:

• what licences are
• how they are used
• top tips on how to apply for a licence

Yes, Following publication of a Resolution by the Governor of the Central Bank of Libya on May 10, 2015, all goods and services imported to Libya will require a Certificate of Inspection. The new Resolution regulates the use of foreign exchange for opening documentary letters of credit (L/C). With immediate effect all goods and services imported to Libya must present a Certificate of Inspection issued by an international inspection company, in order to be financed through a documentary L/C from a commercial bank. For more detailed information, see this document, supplied by SGS, the world’s leading inspection, verification, testing and certification company.

Arabic is the official language although English is Libya’s second language and is widely spoken by business people. Your business cards and trade literature should be printed in both languages and written correspondence should preferably be in Arabic. Your legal adviser will be able to tell you which documents must be in Arabic when doing business with government-owned entities. As an LBBC member, you will be able to obtain English/Arabic translation and vice versa at government rates (undercutting standard commercial rates) from the LBBC’s preferred translation company, Ebla translations.

The Arab-British Certificate of Origin is a printed document issued by the Arab-British Chamber of Commerce for completion by the exporter or his agent. Certified by the A-BCC and legalized by the Embassy of the importing Arab country, this certifies the country of origin of the goods specified therein. The Certificate of Origin is required for the following reasons:

• It is a legislative requirement of the importing country.
• It may be required by a Letter of Credit.
• The importer may want the goods to be of a certain origin
• The Customs authorities may require proof of origin.

Contact the Arab British Chamber for more details: https://www.abcc.org.uk/

There is no general trade embargo on Libya. Indeed, the Department for International Trade (DIT) have a team, currently based in Tunis, promoting trade with Libya.  Last year, U.K. firms exported over £100 million of goods to Libya.

There are specific prohibitions and requirements affecting the export of a limited list of goods and services to Libya, such as arms and equipment used for internal repression, people trafficking and other crimes.  They are set out in guidance issued by the FCDO which can be found at https://www.gov.uk/government/publications/libya-sanctions-guidance/libya-sanctions-guidance

There are also financial sanctions on designated persons and organisations. The criteria, legal basis and names of the people and entities so designated are set out in the link below and are enforced by HM Treasury’s Office of Financial Sanctions Implementation (OFSI). They invite enquiries about asset freezing or other financial sanctions by email to  ofsi@hmtreasury.gov.uk or by calling 020 7270 5454.

https://www.gov.uk/government/publications/financial-sanctions-libya