Obstacles and Requirements for Implementing the Salam Product for Financing the Agricultural Sector in Libya in Light of the Sudanese Experience: A Descriptive Study

Abstract

This study aimed to highlight the obstacles and requirements for applying the "Salam contract" to finance the agricultural sector in Libya, drawing upon the Sudanese commercial banks' portfolio experience. The study adopted a descriptive-analytical methodology to review the jurisprudential and economic foundations of the contract and to analyze the legislative, administrative, logistical, and risk challenges facing the agricultural and banking sectors in Libya. It concluded that successful implementation requires flexible legislation, qualified banking staff, developed logistical infrastructure, and risk-mitigation mechanisms to achieve food security.