Mandatory LAB approval for public works contracts exceeding LYD 5 million

Summary: Libyan Audit Bureau Circular No. (2) of 2026 mandates that government bodies obtain prior approval for contracts exceeding LYD 5 million. LAB also urges all financial institutions and banks responsible for fund disbursements or transfers not to process any payments for contracts exceeding five million dinars unless LAB approval is attached. Furthermore, entities must ensure that contracts or transfers are not split to evade the LAB's financial oversight threshold. For more details, refer to the official circular issued on May 5, 2026 (provided in the link below):

https://lawsociety.ly/legislation/%D9%85%D9%86%D8%B4%D9%88%D8%B1-%D8%B1%D8%A6%D9%8A%D8%B3-%D8%AF%D9%8A%D9%88%D8%A7%D9%86-%D8%A7%D9%84%D9%85%D8%AD%D8%A7%D8%B3%D8%A8%D8%A9-%D8%B1%D9%82%D9%85-2-%D9%84%D8%B3%D9%86%D8%A9-2026-%D9%85-%D8%A8/

Note: Please let me know if you would like a full English translation of the circular.