The Libyan Central Bank has approved the merger of two of Libya’s largest banks. Al Oumma (Nation) Bank, Libya’s largest bank asset-wise and Al Joumhouriya (Republic) Bank Libya’s fifth largest bank will merge to form one of the largest banks in North Africa.

As with most of Libya’s commercial sector both banks are state owned, however the merger will allow a partial privatisation of the yet to be named ‘super’ bank. The merger is expected to be completed in 2008.

"The merger is part of a strategy being implemented by the Central Bank to restructure, develop and modernize the banking sector with the aim of improving banking services," the Central Bank said.