“I swear to God, I have no food to offer my children for the Iftar,” said Ahmad al-Fakhiri worriedly, while standing in front of the al-Jumhuriya Bank in the Ajdabiya District (150 kilometres south of Benghazi).
It was the first day of Ramadan when the bank management announced it didn’t have enough liquidity to pay state employees their salaries.
Crowded banks but no money
“I swear to God, I have no food to offer my children for the Iftar,” said Ahmad al-Fakhiri worriedly, while standing in front of the al-Jumhuriya Bank in the Ajdabiya District (150 kilometres south of Benghazi).
It was the first day of Ramadan when the bank management announced it didn’t have enough liquidity to pay state employees their salaries.
Crowded banks but no money
Al-Fakhiri teaches mathematics in one of the primary schools. Like many other Libyans, he’ll go home empty-handed after waiting for hours in vain in front of the working banks in the city.
Even before the month of Ramadan, Al-Fakhiri was barely able to provide food for his family, despite the fact that he has money in his bank account. And, he pointed out, no business wants to sell goods on credit.
“Now it is too late to look for a job and make an income to cover my expenses during the month of Ramadan,” he said. Another man, who overheard Al-Fakrhiri, handed him a few dinars.
Money not the problem
According to a bank official, who spoke to Correspondents under conditions of anonymity, there is enough liquidity in the major banks in Benghazi, but the repeated robberies by people he described as “bandits” led officials to suspend the transfer of money to the local bank branches until the security apparatuses perform their duties.
The source added that there are more than 10 million Libyan dinars (US $8 million) in the Ajdabiya and Brega branches combined. “This amount would solve 70% of these banks’ problems if we find a secure way to send them this money,” he explained.
On the willingness of the military to secure that banks receive liquidity, Colonel Bashir Abdel Kader, commander of the 149th battalion, said he is ready to send a military force to bring liquidity to the banks if the money is available in Benghazi.
He added that his battalion is capable of imposing order when the banks start working and that he is now unable to disperse people gathering in front of the banks, saying the battalions’ presence there would bring no results. “If I do so, I will only increase the levels of their anger but if they wait they will feel that there might be some hope,” he said.
Although the expressions on the faces of the people standing in front of the bank, were anything but hopeful. Some huddled together at the entrance to avoid the sun’s heat and others waited in complete silence.
“I have orphans in my house!”
“You Muslims, open the door,” shouted Umm al-Saad. She pushed through the men standing in front of her. “Under these terrible conditions,” she said, “there is no room for shyness.”
Al-Saad was not interested whether or not the bank was responsible for providing financial liquidity. She blamed its management for not paying out her social security salary.
“I have nothing in the house for food,” she said desperately. “It is the month of Ramadan and my daughter and her orphan children are living with me. The only income we get is the security pension, which I have not received in the past two months.”
Goodwill solution
Muhammad al-Qataani, a food retailer in the city, said he is ready to support the government by depositing money from his own account. He called on other capitalists to come together at this very difficult time to contribute to finding solutions.
Al-Qataani said his shops in Ajdabiya would allow people to buy food on credit and pay it back when the banks start paying out salaries.
