Guide for foreign companies

Working in Libya: which route fits you?

Whether you sell equipment to an oil operator or execute a project on site, Libyan law sets a different path. Here is the short version – then our Libyan legal partners can take you through the details.

Talk to a Libyan legal partner See open tenders

Start here: what do you want to do?

Supply goods

Equipment, spare parts, materials, chemicals…

Usually no Libyan company needed

Sell to the Libyan buyer (e.g. an NOC operating company) through its tender or vendor registration.
Importation itself is a Libyan activity: the buyer or a Libyan importer clears the goods.
From 2027, foreign suppliers must register in Libya's PTS digital trade system (see timeline).

Execute a project / services

Construction, oilfield services, engineering, IT…

A Libyan entity is required

Open a branch of your company, or
Form a joint venture company with a Libyan partner.
Works in Libya are contracted through a licensed branch or a JV, not directly by the foreign parent.

Explore the market

Meet clients, follow tenders, prepare bids

Representative office

Market research and liaison only – it cannot sign contracts or trade.
A good first step before committing to a branch or JV.

Branch vs joint venture vs representative office

	Branch	Joint venture (JV)	Representative office
Ownership	100% foreign parent	Foreign share up to 49%	100% foreign
Term	1 to 5 years, renewable	Up to 25 years, renewable	3 years, renewable up to a maximum of 5 years
Scope	Up to two approved fields	Broader; can combine activities	Liaison only – no commercial activity; only for companies without a branch or JV in Libya
Libyan role	Branch manager or deputy must be Libyan	Libyan partner(s) hold the remaining share	—
Best for	Large contracts you won or expect to win	Long-term presence, smaller or varied contracts	Market entry and bid preparation

Based on Libyan commercial law and Ministry of Economy regulations. Rules and their application change – for your case, send a consultation request.

Key numbers at a glance

49%max foreign share in a JV

30%minimum share of Libyan staff

20% + 4%corporate income tax + Jihad tax on profits

1%stamp duty on main contracts (0.1% subcontracts), register within 60 days

6–8 wkstypical registration time once documents are complete

For questions about your case, send a consultation request →

Opening a branch or JV: the path

Choose the structureBranch or JV, and the exact field of activity.
Prepare parent documentsCommercial extract, articles, board resolution, audited accounts, references – legalised and translated into Arabic.
Transfer the capitalFrom the parent's account abroad to a Libyan bank.
Ministry of Economy permitRegistration of the branch or approval of the JV.
Commercial register & licencesChamber of Commerce, tax, social security, statistics.
Start operatingHire (Libyan staff quotas apply), register contracts within 60 days.

What changes soon for suppliers

Now – 31 Dec 2026

Voluntary registration of foreign suppliers in the PTS system (e-trade.ltnet.gov.ly).

1 Jan 2027

Mandatory for suppliers shipping USD 1 million+ a year to Libya.

31 Mar 2027

Mandatory for suppliers shipping USD 100,000+ a year.

Shipments must also be paid through approved banking channels to clear customs (Ministry of Economy decisions 449 and 465 of 2026).

Need the details for your case?

We work with Libyan legal partners – lawyers and a licensed contracts notary in Tripoli – who can:

Provide legal advice for doing business in Libya
Advise which structure fits your contract or tender
Handle the registration of a branch, JV or representative office
Review tender documents, contracts and agreements

Tell us about your plans and a partner will contact you by email.

Important: this page is a simplified overview prepared on 29 October 2026 from Libyan legislation and published professional guides. It is not legal advice, rules and their application change, and each case is different. Confirm the current requirements with a Libyan lawyer and the Ministry of Economy before acting.

Sources: Grant Thornton, Doing Business in Libya 2026; PwC, Doing Business in Libya 2025; Decision 465/2026 on PTS registration (Libya Herald, Sept 2026).