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Libya
DOMESTIC TRADE AND TOURISM
The development of internal trade has been severely restricted
by government actions during the late 1970s that were aimed at
curbing the activities of private sector merchants (see Role of
the Government , this ch.). In general, domestic trade remained
in a state of limbo in the mid-1980s. Government policy was extremely
hostile to private trade, but because of declining oil revenues
the government was unable to keep up with the demand for most
goods, subsidized or not. Reports that the state-run supermarkets
were experiencing supply problems proliferated during 1985 and
1986. Shopping was said to be a major daily activity that demanded
time and perseverance. The confusion reigning in the retail sector
in 1985 pushed the government to announce the opening of yet another
chain of state-run shops--the "green market" (aswaq al Khadhra)--to
sell subsidized goods. It was unclear, however, how much of a
force these shops would be, or whether they would receive the
funds necessary to sell goods at subsidized prices.
Beyond the urban areas, rural markets were held every Tuesday
and Friday. Most farmers bought and sold in local markets, rarely
traveling to distant ones. Although Libya officially adhered to
the metric system, everyday practice continued to favor Arabic
measures. A common measure used in wholesale trade was the marta,
equivalent to about kilograms.
The government's imprint on other areas of domestic trade was
strong. Storage facilities for agricultural commodities and general
goods, including perishables, were provided by a state-owned storage
and refrigeration company. Moreover, all advertising was done
through the only advertising firm in the country, the government-owned
General Company for Distribution, Publication, and Advertisement.
A potential source of income for Libya is tourism. Libya's warm
and pleasant climate in coastal areas, together with the presence
of a large number of Greek and Roman ruins (particularly at Leptis
Magna or Labdah, east of Tripoli), would seem to indicate at least
a modest potential for tourist development. In April 1972, however,
Qadhafi publicly declared that he opposed public investment in
the tourist industry. Despite this pronouncement, by the late
1970s several tourist complexes were planned both on the coast
and in the interior. The number of tourists visiting Libya at
that time was in the 300,000 a year range. Most came from other
Arab countries. Because of the prohibitions against alcohol, the
lack of nightlife, and the strained political climate, foreign
observers doubted that the tourist industry would expand.
Data as of 1987
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