Libyan Airlines has denied claims that the airline is facing bankruptcy, affirming that airline operations will continue despite significant financial and technical challenges.
The state-owned carrier said it is facing severe financial strain as it struggles to generate sufficient revenue to meet its operational obligations, including aircrew training, debt repayments, and maintenance costs. The airline cited high exchange rates as a key factor driving up the cost of spare parts and technical services, further complicating efforts to manage both domestic and international liabilities.
“Management is making every effort to balance the distribution of salaries with the need to cover essential operating costs and schedule outstanding debts, in order to maintain business continuity and avoid bankruptcy,” an airline statement read. “It affirms that all measures taken are in line with protecting the interests of both the company and its employees.”
A spokesperson for the airline further denied speculation on social media regarding bankruptcy, indicating that management from the airline is currently trying to restructure the company by “all available means”.
This was followed by an appeal to the Libyan government, urging them to provide the essential support to safeguard the company.
Despite reputing bankruptcy, Libyan Airlines confirmed that it is currently going through an “unprecedented crisis” as a result of the forced halt of most of its aircraft, due to severe damage suffered during armed clashes at Tripoli's Mitiga Airport, which also resulted in the destruction of its aircraft spare parts stores, support workshops and technical equipment.
Libyan Prime Minister, Abdul Hamid Dbeibah, told local media earlier this week that he has demanded the Special Deterrence Force, an anti-government armed group, hand over Mitiga Airport to the control of the country's ministry of transport and the office of the attorney general.
Libyan Airlines currently operates three aircraft, with operations limited to Tunisia, Egypt and Türkiye.