Libya is set to sign a major strategic partnership worth an estimated $2.7 billion to expand and modernize the Misurata Free Zone, a move the government says will strengthen the country’s
role in regional trade and logistics.
Prime Minister Abdulhamid Dbeibah announced that the agreements will be signed on Sunday with a consortium of Qatari, Italian, and Swiss companies, marking one of the largest foreign investment initiatives in Libya’s free-zone sector in recent years.
According to Dbeibah, the partnerships aim to accelerate infrastructure development inside the Misurata Free Zone, improve port and logistics services, and attract global companies seeking a gateway between Africa, Europe, and the Middle East. Once fully operational, the project is expected to generate around $500 million in annual operating revenues, while creating thousands of direct and indirect jobs.
Strategic importance of Misurata Free Zone
The Misurata Free Zone, located adjacent to the Port of Misurata on Libya’s Mediterranean coast, is considered one of the country’s most strategically positioned economic zones. It benefits from proximity to major international shipping lanes and serves as a natural logistics bridge linking North Africa to southern Europe and sub-Saharan markets.
Established to diversify Libya’s economy beyond hydrocarbons, the zone offers incentives such as tax exemptions, streamlined customs procedures, and full foreign ownership in many sectors. It has already attracted businesses in logistics, manufacturing, storage, re-export, and light industry, but authorities say its potential remains largely untapped.
What the expansion will include
Officials familiar with the project say the new investment will focus on:
- Expanding industrial and logistics areas
- Upgrading port-linked infrastructure and warehousing
- Developing smart customs and digital trade systems
- Enhancing utilities, transport links, and investor services
The involvement of European and Gulf companies is also expected to bring international expertise, technology transfer, and higher governance standards, helping to position Misurata as a competitive free zone in the Mediterranean basin.
Boost to Libya’s investment climate
The Misurata Free Zone expansion is part of a broader government strategy to attract foreign investment, stimulate private-sector growth, and reduce dependence on oil revenues. Libyan officials have repeatedly emphasized that free zones can play a central role in rebuilding confidence among international investors and integrating Libya into global supply chains.
If successfully implemented, the project could turn Misurata into one of North Africa’s leading logistics and industrial hubs, reinforcing Libya’s economic recovery and long-term development goals. Photo by Tripoli_skyline_clear_day.JPG:, Wikimedia commons.
