News (2008/09/01)

Italy invests $ 5 billion (€ 3,5 billion) in Libya to seal past

Italy will invest 3,5 billion euro’s in Libya, the former Italian colony in North-Africa. Italian premier Berlusconi and Libyan leader Gadaffi agreed on this last weekend in a friendship accord.

The deal includes Italian funds for a highway connecting Libya with Tunisia and Egypt and the clearing of Libya of landmines left from colonial times.  

In exchange Italy will have easier access to Libyan gas and Libya will cooperate with Italy to combat illegal immigration by boat from North-African shores.

Italy occupied Libya in 1911 and made it a colony in the 1930’s. In 1951 Libya became independent. In the 1970’s Gadaffi expelled the 20.000 Italians living in Libya and disowned their belongings.

The colonial past often causes tensions between Italy and Libya, even though Libya is Italy’s biggest trade partner and oil importer.

The deal sets the seal on the past, Berlusconi said.