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It is one thing to save or reinvest all the money coming from your oil when you're already a developed nation, and your population has other means to sustain it
by danmaz74 14y ago
It is one thing to save or reinvest all the money coming from your oil when you're already a developed nation, and your population has other means to sustain itself. That's not true for Lybia.
- fusiongyro 14y agoI imagine the interest on $500M can build infrastructure just as well as improve schools.
- vidarh 14y agoThat's true. But while Libya isn't in a great spot, it is nowhere near being one of the poorest countries, and its inflation adjusted GDP per capita in 2009 was about 50% of where Norway was when oil was discovered. That's about 4 times as high as Egypt in 2009, and higher than some European countries like Estonia. Presumably the civil war might have set them back somewhat, but they're still in a position where it at least ought to be possible to start building a long term revenue stream from this.
- danmaz74 14y agoYes, but I presume that for the reconstruction they'll have to use all the money they can get from oil and gas, for some years...