Boosting interest: Libyan leader Muammar Gaddafi
Gaddafi lures foreign investors
Libya's Muammar Gaddafi told Italian business leaders today he has earmarked spending of €11.8 billion ($16.4 million) to attract foreign investment to his country and Italian investors were his number one priority.
The Libyan leader, speaking to industry lobby Confindustria on his historic first visit to former colonial ruler Italy, also said Libya would not favour oil and gas exports to other foreign countries if it was at the expense of supplies to Italy.
"More than 70% of Italian's energy requirements come from abroad, mostly from Libya.
Italy has great need of Libya so Libya will not favour supplying gas and petrol to other countries if it is at Italy's expense," said Gaddafi.
"Italian companies will have priority in Libya," he told Confindustria, whose president, Emma Marcegaglia, said Libya had "promised to invest €11.8 billion in the coming years to attract foreign investment, also via the creation of joint ventures in the private sector".
She said she saw synergies with Libya in energy, renewable energy, petrochemicals, engineering and tourism.
Western companies have been eyeing infrastructure and energy projects in Libya since international sanctions were lifted in 2003.
Italy, which last year apologised for the atrocities of its 1911-1943 colonial rule, is at the forefront of a diplomatic thaw and gets a quarter of its oil from Libya.
Libya has been investing in major Italian companies like UniCredit , where it has a seat on the board, and Eni.
The head of Libya's $65 billion sovereign wealth fund said it was considering investing in Italian power and infrastructure companies such as electricity company Enel and builder Impregilo.
Abdulhafid Zlitni, chairman of the Libyan Investment Authority wealth fund, told Reuters this week that Europe's second utility Enel was among various companies Libya is eyeing.