Central Bank of Libya P.O. Box 1103, Cable Address: Masraflibya - Tripoli - Libya

Reference: ARM N / 804

Circular No. ARM N (16 /2012) Date: 13 Han Corresponding to: July 03, 2012 AD

To: General Managers of Commercial Banks To: Heads of Temporary Administrative Committees in Commercial Banks Mr./ General Manager of the Libyan Foreign Bank

Greetings,

Based on the provisions of Law No. (1) of 2005 regarding Banks. And with reference to Circular ARM N No. (4 /2012) issued on 2012/1/30, regarding authorizing commercial banks to start accepting requests related to the import of goods and means of production, using bank transfers, in accordance with the controls mentioned in the circular, and to Circular ARM N No. (9 /2012) issued on 2012/3/28, by which commercial banks were authorized to resume deciding on requests submitted to them for importing goods and means of production, by means of outgoing foreign transfers without the need for presentation to the Central Bank of Libya.

Therefore, we inform you that the Board of Directors of the Central Bank of Libya issued Decision No. (7) of 2012 at its second meeting for the year 2012, held on 2012/2/2, regarding free remittances.

As we enclose a copy of the aforementioned Board of Directors' decision, you are requested to take the necessary measures and put its provisions into effect.

And peace, mercy, and blessings of God be upon you,

Abdulmajid Mohammed Al-Maqouri Deputy Director of the Department of Banking and Currency Supervision

Copy to: Mr./ Governor Copy to: Mr./ Deputy Governor Copy to: Mr./ Undersecretary of the Ministry of Finance Copy to: Mr./ Undersecretary of the Audit Bureau Copy to: Mr./ Director General of the Customs Authority Copy to: Mr./ Secretary of the General Union of Chambers of Commerce and Industry Committee Copy to: Mr./ Director of Accounts Department - Central Bank of Libya Copy to: Mr./ Director of Banking Operations Department - Central Bank of Libya Copy to: Directors of Central Bank of Libya Branches (Benghazi - Sirte - Sebha) Copy to: Banking Follow-up and Compliance Monitoring Section Copy to: Data and Statistics Section

B/ Radwan • H.A • 1 • Circular 18

www.cbl.gov.ly | swift code:CBLJLYLX | Tel: +218 333 3591 | Fax: +218 444 1488

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Central Bank of Libya P.O. Box 1103, Cable Address: Masraflibya - Tripoli - Libya

Board of Directors Decision of the Board of Directors of the Central Bank of Libya, No. (7) of 2012 Regarding Free Remittances

The Board of Directors of the Central Bank of Libya

After reviewing Law No. (1) of 2005, regarding Banks. And the Commercial Activity Law. And the decisions, circulars, and periodic letters regulating foreign exchange operations. And based on what was presented by His Excellency the Governor, Chairman of the Board of Directors. And based on the conclusions reached by the Board of Directors, in its second meeting for the year 2012, held on 2012/02/02.

Decided

Article One Merchants are authorized to make free remittances to enable them to import goods needed by the local market, in accordance with the following controls and conditions:

1. The value of remittances made by a single merchant in a year shall not exceed an amount of ($500,000.00) five hundred thousand US dollars.
2. The remittance request must include a statement of the merchant's statistical code.
3. The merchant requesting the remittance must provide a cash guarantee of (25%) twenty-five percent of the amount requested to be transferred, provided that this guarantee can be refunded after submitting proof of the arrival of the goods.

Article Two This decision shall be effective from its date of issuance, and the Department of Banking and Currency Supervision shall take the necessary measures to put it into effect.

Al-Siddiq Omar Al-Kabeer Governor And Chairman of the Board of Directors

Issued on: February 02, 2012 AD.

www.cbl.gov.ly | swift code:CBLJLYLX | Tel: +218 333 3591 | Fax: +218 444 1488