Uncertainty and confusion: Libya's General People's Congress recently decided not to implement Gaddafi's idea of directly distributing oil wealth to the people in the near future | Speaking on the 39th anniversary of the revolution on 1 September 2008, the Libyan leader, Muammar Gaddafi, announced a series of far-reaching political reforms including the abolition of a number of ministries and the partial privatisation of numerous state-run companies, especially those in the electricity and water supply sectors. The announcement sought to prepare Libyans for the fact that they will soon have to pay for basic state services. To ensure that the people will be able to pay for these services, Gaddafi spoke of directly distributing the country's oil wealth to the people.
Gaddafi's speech triggered consternation and uncertainty among both the Libyan people and foreign observers. Ever since, people in Libya have been wondering whether to take their leader's announcement seriously and what the actual consequences of such reforms would be. The confusion was further intensified in early March when the Libyan People's Congress revoked certain elements of the reform package.
It is possible that the confusion caused by Gaddafi's initiative was intended to strengthen the colonel's grip on power, which has remained secure since 1969. There is little to indicate that the system will actually be changed in his fortieth year at the helm since seizing power during the revolution; after all, Gaddafi successfully averted the threat of a foreign-backed regime-change by amending his foreign policy in 2004.
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