Issued by: GCIS
The announcement of the suspension of sanctions against Libya today is expected to result in a flurry of international investment in the country which is preparing itself for significant private sector involvement in its economy. A high-profile Libyan minister told the African Connection Rally group this week that South Africa would be first in line for a chance to invest in the Libyan economy.
Acting minister of Telecommunications Mubarek El Shamak said after a meeting with Minister of Posts, Telecommunications and Broadcasting, Jay Naidoo, that his country had made preparations in anticipation of the end of sanctions and that negotiations with foreign companies including some in South Africa, Asia, Europe and the US to invest in Libya would begin once the Lockerbee negotiations were completed and sanctions were scrapped, El Shamak said.
El Shamak, who is also Libya's housing and utilities minister, did not give details of tenders which were being prepared, but said it would amount to billions of dollars. The projects would include water supply and rail developments. Foreign companies would be given certain incentives and guarantees on repatriation of profits, he said.
Minister Naidoo and his African Connection Rally were given a hearty welcome by the Libyan government and people when they arrived there on the second leg of the rally last week.
The government pulled out all the stops in hosting the South Africans and even allowed a live satellite broadcast to SA from Tobruck - the first ever from that country. Journalists who expected unease from Libyan authorities were given nothing short of full cooperation and free use of their communication facilities.
Minister El Shamak said he was hoping to arrange a meeting soon with his South African counterpart, Housing Minister Sankie Mthembi-Mahanyele.
El Shamak summed up the country's attitude when he said: "Libyan capabilities are yours to command, we will give you all the hand you need to make this trip succeed." The relationship between the two countries, he added, was now better than ever.
While in Tobruq Naidoo also opened a new digital telephone exchange, watched by many hundred local citizens. The new Siemens digital switch would add a further 8000 lines to the country's rapidly growing telecommunications infrastructure.
From having virtually no lines after its revolution in the early 60s, one in every 10 of its 4 million inhabitants now has access to a telephone.
The telephone system is 90% digital and is expected to be fully digitised by the end of the year.The telecommunications operator is the called General Posts and Telecommunications Company (GTPC) and there is also a cellular service based on the GSM standard, which is managed by Ericcson and Orbit Telecom.
GTPC operate an Internet hub in Tripoli which is connected by a 2Mbps international link to Teleglobe in Canada. Public access Internet facilities are not yet available but many of the larger companies and state authorities use the service.
5 April 1999