The Libyan government retains significant ownership in the telecommunications sector, primarily through the Libyan Post, Telecommunication and Information Technology Company (LPTIC), one of the country’s largest state-owned enterprises. Established under Art. 1 of Decree No. 63 of 2005 as a public holding company affiliated with the General Authority for Information, Documentation and Communications, LPTIC assumed control of the General Company for Post and Telecommunications, Al Madar Company, Libya Telecommunications and Technology Company, and Libyana Company pursuant to Art. 5 of the same decree. Al Madar Al Jadeed, founded in 1995 as Libya’s first mobile network operator and data provider, remains government-owned, while Libya Telecommunications and Technology Company, created in 1997, currently delivers integrated services including Internet connectivity, voice communications, hosting, and data transfer. Other entities, such as Libyana, also continue to operate under the LPTIC umbrella.

Libya does not mandate functional separation for operators with significant market power (SMP) in the telecom market. Information about accounting separation is not found.

Libya has not appended the World Trade Organization (WTO) Telecom Reference Paper to its schedule of commitments. In fact, Libya is not a Member of the WTO.

Libya has a telecommunications authority: the General Authority for Communication and Informatics. However, it is reported the decision-making process of this entity is not independent from the government. In fact, its chairman has been appointed by a resolution from the prime minister. Furthermore, Art. 19 of Resolution No. 49-2022 stipulates that the internal organisation of the Authority shall be issued by a decision of the Chairman in coordination with the Ministry of Civil Service.

Art. 9.5 of the Regulations on Electronic Payment Services stipulates that electronic payment service providers are required to ensure that all processing and payment operations take place entirely within the territory of Libya. In addition, Art. 10.1 provides that, as part of the terms and conditions applicable to electronic payment by cards denominated in Libyan dinar, the technological infrastructure used for the operation of the electronic transaction processing centre, whether owned by the provider or outsourced to a data centre, must be physically located within Libya.

According to Art. 78 of Law No. 6-2022 on Electronic Transactions, the transfer of personal data to a foreign country is only allowed if the appropriate level of data protection is considered, particularly the nature and source of the personal data and the purpose and duration of the transfer. Also, the applicable international obligations and laws and national data protection procedures of the country to which the data is transferred must be considered.

Libya has not signed the World Intellectual Property Organization (WIPO) Copyright Treaty.

Under Art. 1 of the Law on the Boycott of Israel, any natural or legal person is prohibited from entering into agreements, whether directly or indirectly, with individuals or entities residing in Israel, holding Israeli nationality, or acting on its behalf, as well as with national or foreign companies that maintain interests, branches, or general agencies in Israel. In addition, Art. 18 of the Administrative Contracts Regulation mandates that applicants for administrative contracts comply with decisions issued by the competent authorities regarding the boycott of any state or the prohibition of dealings therewith, and requires that every such contract include a clause obliging the parties to adhere to these decisions and accept their consequences.

Circular 4-2023 requests all public companies and government agencies funded from the general budget to commit to giving priority to supplies from the local market, especially those manufactured and produced locally when contracting for the procurement of materials and supplies they need.

Art. 106 of the Administrative Contracts Regulation stipulates that contractors are required to use nationally sourced materials and products of local origin, including those that are manufactured or semi-manufactured domestically, as well as other materials and equipment available on the local market, provided that such items conform to the agreed technical specifications and are offered at competitive prices.

It is reported that procurement processes are frequently characterised by opacity and fragmentation across multiple agencies, with a recurrent reliance on non-competitive procedures and limited public disclosure of procurement plans, contract awards, and implementation outcomes. It is further reported that foreign enterprises regard corruption as a significant impediment to foreign direct investment, which remains pervasive across virtually all sectors of the economy, particularly within government procurement.

Libya is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA), nor does it have observer status. In fact, Libya is not a Member of the WTO.

Art. 18 stipulates that foreign participation in joint ventures may not exceed 75%; however, this limit may be raised to a maximum of 89% by a reasoned decision of the Minister.

Foreign investors face no specific restrictions under Law No. (22) of 1378 FDP (2010 AD) on Telecommunications. However, it is reported that the fixed telecom sector is reserved exclusively for the state-owned Libyan Post Telecommunications and Information Technology Company (LPTIC). The regulatory framework defines three licensing categories in the telecommunications sector:
- Category I: Required for establishing or operating public telecom networks or infrastructure that uses national resources, such as frequency spectrum. This includes fixed and mobile networks, international communications, and any other services designated by the Authority.
- Category II: Covers public telecom services that rely on first-category networks or provide additional services using national resources (e.g., numbering) without using natural resources. Examples include ISPs, satellite communication, and value-added services.
- Category III: Applies to private telecom networks or services, either separate from or using capacity from public networks. This includes services like automated vehicle management systems, satellite-based personal communications, and importing radio equipment.
The regulator encourages private sector involvement in Category II and III services but reserves Category I fixed telecom services exclusively for the LPTIC, preventing private operators from entering this sub-sector.

Art. 5 of Decree No. 944 stipulates that foreign nationals are prohibited from engaging in import and export activities, which are reserved exclusively for domestic persons.