The LIA has embarked on a comprehensive strategy of transformation to improve transparency, governance and accountability in the management of the Authority and its assets.
The LIA Board of Directors are fully committed to rebuilding trust and confidence in the LIA – to demonstrate to the United Nations Sanctions Committee (and its Panel of Experts); third party countries; outside investors and others that it follows international best practice for sovereign wealth funds, in keeping with the Santiago Principles.
The LIA’s strategy has three key elements:
(1) improved internal governance of the LIA and its approach to the management of its assets;
(2) the protection, preservation and growth of the LIA’s asset base; and
(3) the LIA’s approach to potential disputes and litigation.
The objectives of this Strategy are to:
(1) to ensure the best practice management and protection of the LIA’s assets – frozen and unfrozen – within the existing sanctions regime and in accordance with the Santiago Principles for sovereign wealth funds in accordance with the LIA’s purpose: for the benefit of Libya and its people;
(2) provide improved independent, verifiable financial information about the LIA’s investments, including reporting on their performance; and
(3) ensure that the LIA’s assets are controlled and managed by LIA employees rather than third parties who have no accountability to the LIA.
The LIA Board of Directors acknowledge and recognise the size of the task. Implementing the strategy is challenging and involves the involvement of international consultants with expertise in the various areas – for example, in particular, consultants will be appointed to oversee improvements in the LIA’s (1) investment reporting; (2) forensic capability; (3) project and process management; and (6) sanctions expertise.
The LIA’s Strategy is fundamental to the LIA’s contribution to economic reform in Libya and has been discussed and adopted by the LIA Board of Directors .
Long Term Strategy
This strategy for transformation in intended to be completed within 12-18 months and is focussed on specific projects.
In parallel, the LIA is also continuing with its long-term strategy to improve and restructure its overall investment portfolio with the ultimate goal of returning to a premium profit margin, with sustained value growth and improved investment decision making.
As part of this long term strategy, the LIA are continuing their work with international and independent consultants with expertise in key areas to develop and progress the LIA’s long term investment policies.