Libya Joint Market Monitoring Initiative (JMMI) Libya Cash Working Group 1 - 11 May 2021 INTRODUCTION METHODOLOGY JMMI KEY FINDINGS & CONTEXT JMMI KEY FIGURES • In an effort to inform cash-based interventions • Field staff familiar with the local market conditions identified • The cost of the MEB increased by 0.5% across Libya Data collection from 1 - 11 May 2021 and better understand market dynamics in Libya, shops representative of the general price level in their between April and May 2021 (see page 2). The MEB the Joint Market Monitoring Initiative (JMMI) was respective locations. is 12.3% higher than pre-COVID-19 levels in March 2 participating agencies created by the Libya Cash & Markets Working • At least four prices per assessed item were collected within 2020. (REACH, WFP) Group (CMWG) in June 2017. The initiative is each location. In line with the purpose of the JMMI, only 32 assessed cities led by REACH and supported by the CMWG • In east Libya, the cost of the MEB has risen by 5.4% the price of the cheapest available brand was recorded 45 assessed items members. It is funded by the Office of U.S. with cities, such as Al Marj (+14.9) and Al Bayda 634 assessed shops Bureau of Humanitarian Assistance (BHA) and the for each item. (+10.2%) experiencing price spikes. • Enumerators were trained on methodology and tools United Nations High Commissioner for Refugees • The food proportion of the MEB has decreased by EXCHANGE RATES1 (UNHCR). by REACH. Data collection was conducted through the 8.2%, driven by the decrease of items, such as onions KoBoCollect mobile application. • Markets in key urban areas across Libya are (-20%) and salt (-20%). 4.502 5.140 6.150 assessed on a monthly basis. In each location, • Following data collection, REACH compiled and cleaned all • From February - May 2021, prices for paracetamol USD/LYD USD/LYD EUR/LYD partner data, normalising prices, cross-checking outliers and field teams record prices and availability of basic rose by 41.3% and amoxocillin by 17.2%. In May official parallel market parallel market food and non-food items (NFIs) sold in local calculating the median cost of the MEB in each assessed 2021, metoclopramide was 44.7% more expensive ▼ -1.1% ▲+1.8% ▲+4.6% shops and markets. This factsheet presents an market. overview of price ranges and medians for key than in November 2020 and Vitamin B was 43.4% • Qualitative information is also gathered from local sources more expensive then October 2020. food items and NFIs in the assessed areas, as and economic experts through key informant (KI) interviews. well as the costs associated with key elements of • Parallel market cooking fuel has increased by the Minimum Expenditure Basket (MEB). • REACH has extracted prices on a daily basis from the 38.1% from March - May 2021. As mentioned in the KEY MONTHLY CHANGES IN MEB website, "Open Souq" and conducted KI interviews with • REACH has also conducted analysis April 2021 factsheet, the recent monthly increase may property market professionals to better understand the Median cost of overall MEB highlighting economic vulnerability for at-risk have been due to authorities imposing a force majeure rental market in Libya. 707.2 LYD ▲ +3.17% ▲ +0.5% population groups that can be accessed through on Hariga oil field, temporarily reducing Libya's output • More details are available in the Methodology section of an interactive dashboard. by 280,000 barrels per day (bpd) from 19th - 26th of Food items Hygiene items Cooking fuel.9 the Appendix. 2 April. ▼-0.4% ▲ +2.7% ▲ +16.7% • On 24th May 2021 Libya's parliament approved COVERAGE the budget's first chapter of 34.6bn Libyan dinars (LYD), mainly related to salaries.3 The parliament MEDIAN COST OF MEB BY REGION has previously rejected the entire budget (93bn LYD), due to the value being too high and potentially having West 683.6 LYD ▼-1.5% an inflationary effect on the economy.4 East 725.7 LYD ▲+5.4% • On 24th May 2021, the Central Bank of Libya (CBL) South 810.4 LYD ▼-1.5% declared that letters of credit will no longer be needed for Tunisian goods to enter the country. This is a reversal from the decision to prohibit the opening of MARKET SHORTAGES Letter of Credits (LCs) for goods imported through the country’s land borders that stifled trade between • None reported Tunisia and Libya.5 This decision will allow goods to flow more freely between the two countries and lead to prices reducing across west Libya, however it Reported changes are month-on-month may increase the demand for foreign currency on the parallel market, leading to the depreciation of the LYD. Access the JMMI online dashboard MEDIAN MEB COST BY LOCATION EXCHANGE RATES OVER TIME6 MINIMUM EXPENDITURE BASKET (MEB) Location Cost of Since Since January 2016-January 2020 Since February 2020 Key Elements: Food Items MEB (LYD) Apr 2021 March 2020 Bread 32 kg Tomatoes 10 kg Nalut 785 +1.9% +7.2% Rice 10.5 kg Potatoes 12 kg Ghadamis 762.8 -3.9% +11.6% Pasta 9.5 kg Onions 7 kg Azzintan 760.2 -1.2% +11.7% Couscous 5.5 kg Peppers 4.5 kg Beans 6 kg Tomato paste 6 kg Ghiryan 758.1 +2.9% +8.7% Chicken 7.5 kg Black tea 2 kg Sabratha 731.2 +4.7% +31.2% Tuna 4 kg Vegetable oil 5 L Azzawya 725.4 +5.0% +32.8% Eggs 4 kg Sugar 2 kg Al Aziziya 720.2 -3.4% +31.6% Milk 8.5 L Salt 1 kg Key Elements: Non-Food Items Ashshgega 712.5 +1.9% +10.3% Zwara 708.7 +3.6% +29.5% Bathing soap 1.4 kg (9 150-g bars) Toothpaste 0.5 kg (5 100-g tubes) Zliten 694.6 +3.7% +12.9% Laundry detergent 1.3 L Tripoli 692.4 -7.6% +5.7% Dishwashing liquid 1.3 L Yefren 686.5 +1.9% +4.7% Sanitary pads 4 packs of 10 AlKhums 654.5 -11.4% +21.2% Cooking fuel (LPG) 22 kg (2 11-kg refills) Misrata 641.3 +16.6% +14.4% Optional Elements Msallata 635.3 -5.3% +6.6% Water (drinking use Bani Waleed 634.7 -4.3% +6.3% only) 458 L Tarhuna 622.3 -4.1% +5.7% Median rent for 3-rm flat 1 month Janzour 609.4 -4.6% +2.8% Sirt 574.1 -6.0% -5.2% MEB PRICE INDEX The Minimum Expenditure Basket (MEB) represents the minimum culturally adjusted group of items required Qasr Ben Ghashir No data No Data Since June 2020 (normalised, June 2020 = 1.00)7 to support a five-person Libyan household (HH) for one Median West 683.6 -1.5% +9.4% month. The cost of the MEB can be used as a proxy AlMarj 867.8 +14.9% +35.7% 1. 2 0 for the financial burdens facing households in different Benghazi 815.1 -2.7% +33.2% 1. 15 locations. The MEB's contents were defined by the AlBayda 752.1 +10.2% +16.6% 1. 10 CMWG in consultation with relevant sector leads. AlKufra 707.1 +2.4% +8.3% 1. 0 5 Only the MEB's key elements (food and non-food items) Ejdabia 700.4 +0.6% +7.9% 1. 0 0 Derna 686.8 +4.6% +12.8% 0 .95 Tobruk 646 -4.8% +2.7% 0 .90 Median East 725.7 +5.4% +15.2% 0 .85 COST OF MEDIAN OVERALL MEB Algatroun 1065.3 +3.3% -5.8% 0 .80 Ubari 1014.4 +0.4% -7.0% 0 .75 707.2 LYD Wadi Etba 864.8 +5.1% +2.9% 0 .70 Change since Change since Sebha 769.3 +9.6% +1.8% 0 .65 April 2021 March 2020 Brak 764.6 +7.4% +4.9% 0 .60 ▲ 3.17 LYD ▲77.73 LYD AlJufra 719.6 -0.1% -6.7% Jun-20 Jul-20 Aug-20 Sep-20 O c t- 2 0 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21 Apr-21 May-21 (+0.5%) (+12.3%) Median South 810.4 -1.5% -7.8% Median Overall 707.2 +0.5% +12.3% Median Overall Median West Median East Me dian S outh 2 Libya Cash Working Group Libya Joint Market Monitoring Initiative (JMMI): 1 - 11 May 2021 Cost of MEB Key Elements by Location View interactiveView interactive dashboard dashboard Geographic distribution of the cost of the MEB and Geographic distribution of livelihoods vulnerability economically vulnerable housholds Libya Joint Market Monitoring Initiative (JMMI): 1 - 11 May 2021 Libya Cash Working Group 3 PRICES OF MONITORED ITEMS FOOD PRICES OVER TIME PRICES OF FUEL AND HEALTH ITEMS Selected items (normalised, June 2020 = 1.00)8 Item Unit Median Change Change Item Unit Median Change since Change since price since Apr since March 1.70 price (LYD) Apr 2021 March 2020 (LYD) 2021 2020 Fuel items 1.60 Food items Unofficial LPG 11 kg 21.25 +21.4% -39.3% Tomatoes 1 kg 2.44 +14.7% +21.9% 1.50 Official LPG 11 kg 5.00 0.0% 0.0% Chickpeas 400 g 2.50 +11.1% +66.7% 1.40 Official Gasoline 1 Litre 0.15 0.0% No data Tomato paste 400 g 2.75 +10.0% +37.5% Unofficial Gasoline 1 Litre 0.79 -33.7% No data 1.30 Flour 1 kg 2.88 +9.5% +43.8% Pharmaceutical items Green tea 250 g 3.50 +7.7% +16.7% 1.20 Paracetamol 400mg [20 pack] 8.82 +7.3% +27.1% Beans 400 g 2.50 +5.3% +53.8% 1.10 Amoxicillin 500mg [21 pack] 11.80 +3.7% +31.1% Tuna 200 g 3.67 +5.0% +22.5% Ibuprofen 400mg [20 pack] 7.00 0.0% +27.3% 1.00 Black tea 250 g 6.00 +4.3% +20.0% Vitamin B [40 pack] 15.00 0.0% +46.3% Sugar 1 kg 3.00 +3.4% +26.3% 0.90 Metoclopramide 10mg [40 pack] 15.75 -1.6% +57.5% Chicken meat 1 kg 10.12 +1.2% +8.0% 0.80 Bread 5 pieces 1.25 0.0% +11.1% 0.70 Condensed Milk 200 mL 2.50 0.0% +25.0% Jun-2 0 Jul-20 Aug-2 0 S ep-2 0 Oct-20 Nov-2 0 Dec-2 0 Jan-21 Feb-21 Mar-2 1 Apr-21 May-2 1 Couscous 1 kg 3.50 0.0% 0.0% HYGIENE ITEM PRICES OVER TIME Median Overall (ME B) Food Chicken Tomatoes Potatoes Rice 1 kg 3.00 0.0% -7.7% Selected items (normalised, June 2020 = 1.00)9 Eggs 30 14.00 0.0% +40.0% Potatoes 1 kg 2.31 -2.6% -22.9% PRICES FROM UNOFFICIAL COOKING FUEL VENDORS (11 KG LIQUEFIED Lamb meat 1 kg 40.50 -3.6% +14.1% PETROLEUM GAS (LPG) CYLINDER) 1.50 Vegetable oil 1 L 7.00 -8.2% +55.6% (since June 2020, non-normalised) 1.40 Pasta 500 g 1.81 -9.4% +20.8% Milk 1 L 4.00 -11.1% +14.3% 1.30 Peppers 1 kg 3.50 -12.5% -12.5% 1.20 Onions 1 kg 2.00 -20.0% -33.3% 1.10 Salt 1 kg 1.00 -20.0% 0.0% 1.00 Hygiene items 0.90 Laundry detergent 1 L 2.44 +39.3% +8.3% Jun-20 Jul-20