Businesses with ties to Libya have suffered a severe blow after the self-declared Tripoli government said it would not recognise official visas, Times of Malta has learnt.
Speaking on condition of anonymity, businesspeople approached by this newspaper said the latest development in Malta had complicated matters further.
“We do not know whom to go to for a travel visa to Libya given there are two competing embassies,” an exporter said.
Libya is effectively being run by two rival groups: the more secular internationally-recognised government based in Tobruk and the self-declared Islamist administration in Tripoli.
The Maltese government came under fire from the Tripoli administration for refusing to recognise their representative in Malta. Malta has followed the guidelines issued by the UN and the EU in recognising the Tobruk administration.
“We don’t know how the Maltese will be greeted in Tripoli, especially if Libyans perceive us as supporting the Tobruk government,” a businessman said, adding the situation in Libya was terrible.
“It is much worse than it was before because we do not know whom to talk to anymore.”
It was a sentiment echoed by another leading businessman: “It is an awkward situation unless we decide to have two passports and two visas issued by the different sides.”
The visa ban by the Tripoli-based National Salvation Government was announced on Sunday by their representative in Malta, Hussin Musrati, who took over the Libyan embassy in Balzan last November.
The chargé d’affaires loyal to the Tobruk-based government has been forced to operate from the consular office in Ta’ Xbiex.
Mr Musrati said those wanting to visit Libya’s major towns and cities no longer under the control of the Tobruk government would have to apply for a travel visa at the Libyan embassy in Balzan.
There are some 200 Maltese companies that do business in Libya and the deteriorating situation in the North African State has left them reeling.
A company owner who invested heavily in Libya said his stock was lying in a warehouse, uninsured because insurance companies have declined coverage.
“The stock is in God’s hand and the Libyan partners whom we trust.”
He said companies like his were facing cash flow problems since payments in Libya have dried up.
A service company official called on the government to help Maltese firms with interests in Libya by allowing them to delay tax payments.
I do not know for how long we can sustain the situation
“We have 20 people employed on our Libya operation in Malta and none have been removed but I do not know for how long we can sustain the situation,” he said.
The situation in Libya shows no signs of improvement, with an exporter fearing that the bickering between the two predominant sides could lead to infiltration by Islamist extremists.
“Derna on the east coast is already run by an extremist group linked to Islamic State [which occupies large swathes in Iraq and Syria] and I fear their presence in Libya goes beyond this city,” he said.
But not everyone has lost hope. Another businessman was hopeful of a breakthrough in the near future that would see some form of settlement.
“The UN is very active in Libya and is speaking to both sides but on the other hand this is Libya we are talking about where today’s news changes tomorrow.”
Meanwhile, the Foreign Ministry yesterday renewed its advice against travel to Libya except for essential business in view of the recent escalation in the intensity of military activity, including at Mitiga and Misurata airports.
The warning came on the back of the bombing of a Greek-operated oil tanker moored at the Libyan port of Derna. The attack by unidentified military aircraft killed two crew members.
Turkish Airlines, the only foreign airline still operating to Misurata, also announced it was suspending flights to that airport.
Three days ago, 13 Egyptian Coptic Christians were kidnapped in Sirte, adding to seven who went missing the previous week.
kurt.sansone@timesofmalta.com