Libya to increase spending by 32%.

2010-02-12

Oil producer Libya plans to increase budget spending by 32 per cent to a record $46.6 billion this year, a government spokesman said Wednesday.

The government did not give a reason for the increase but some other energy exporting countries have been ramping up public spending to try to prevent the fall in world oil and gas prices from curbing economic growth.

Government spokesman Mohamed Bayou said the spending figure was contained in a 2010 budget law being prepared by the General People's Committee.

Libya has room to manoeuvre on spending because it built up substantial reserves during several years of high oil prices.

{calgaryherald}