Despite oil riches, Libyans hit by plummeting purchasing power

Libya may sit on Africa's biggest oil reserves, but many families are struggling with rapidly rising consumer prices as the festive Muslim holy month of Ramadan nears. The prices of basic foodstuffs such as pasta, rice, sugar and flour, previously largely subsidized, are now indexed to the level of the dollar on the parallel market. Meanwhile, recent months also saw delays in the payment of state salaries for Libya's 2.3 million civil servants and in pension payments.