Escaping the cycle of conflict in Libya
Think tank: Chatham House
Author(s): Tim Eaton
December 17, 2025
This report from UK think tank Chatham House discusses why an enhanced ‘economic track’ must be integrated into political negotiations.
Policies to address Libya’s interminable political and security crises have too often relied on a flawed system of elite bargains in which power- and wealth-sharing are used to keep the peace among rival factions. The irony is that such policies often aggravate some of the very conflict dynamics they are intended to remedy, for example incentivizing economic predation and rent-seeking via control of state institutions.
This paper makes the case for an alternative approach. Efforts to tackle the economic causes of conflict in Libya must be systemically integrated into political negotiations, given equal status to the political ‘track’, and reinforced by active mediation.
The paper argues that an enhanced economic track of this nature should focus on five areas: (1) immediate stabilization of the economy, with the UN and other international partners spearheading the development of technical governance; (2) structural economic and political reform, pursued through a consultative process, so that more equitable and stable economic models are developed and entrenched; (3) capacity-building to equip Libyan officials and institutions with the skills and resources to implement reform programming; (4) anti-corruption enforcement; and (5) public diplomacy, so that ordinary people and civil society have a stronger say in Libya’s political and economic future.
