Libya's Oil Blockade Deepens Amid Central Bank Governor Crisis

Libya's eastern leaders have intensified an oil blockade, demanding the reinstatement of the central bank governor to control crucial oil revenue. This standoff between the eastern and western factions, backed by foreign powers, risks renewed instability in the country, which has been divided since 2011.

Libya's oil blockade widened on Wednesday as eastern leaders demanded western authorities back down over the replacement of the central bank governor, a key position in a state vying for control of oil revenue. The crisis threatens new instability in a major oil producer divided between eastern and western factions, with foreign backing from Turkey and Russia.

Oil engineers reported that output at Sarir field nearly halted its 209,000 barrels per day production after disruptions at multiple fields. Eastern factions vow to block oil output until the west reinstates veteran central bank governor Sadiq al-Kabir.

The dismissal of Kabir by Presidency Council chief Mohammed al-Menfi this month was rejected by eastern entities, escalating tensions and the risk of armed conflict. Despite years of relative peace since a 2020 ceasefire, Libya remains mired in division and instability.

(With inputs from agencies.)