Finance : Libyan Islamic Bank reaches a milestone in digitalization
On July 31, 2025, the Libyan Islamic Bank (LIB) officially launched its new digital platform, developed in collaboration with Backbase, a global leader in AI-powered banking technologies. This initiative goes beyond merely modernizing the customer experience: it marks a key milestone in the digital transformation of Libya’s financial system and raises questions about competitiveness and innovation dynamics in the region.
Since its establishment in 2017, LIB has positioned itself as a dynamic institution, integrating the principles of Islamic finance while striving to modernize its services. The implementation of a comprehensive digital platform reflects a commitment to meeting the expectations of an increasingly connected clientele. Beyond customer experience, this digital shift could help strengthen trust in Libya’s financial system—a major challenge in an uncertain economic context.
A Libyan Bank Aligned with International Standards
The mobile application offers advanced features: secure authentication, real-time transaction tracking, instant payments, integrated messaging, and geolocation of branches and ATMs. The integration of LYPAY, the Central Bank of Libya’s instant payment system, positions LIB at the forefront of banking innovation in the country. This rapid adoption of international standards could enhance financial inclusion and pave the way for new digital solutions, particularly for small and medium-sized enterprises.
A Model of International and Local Cooperation
The project was carried out in partnership with OneTech Business Solutions (OTBS), a Tunisian integrator specialized in IT and finance. This synergy between international expertise and local market knowledge demonstrates how cross-border collaborations can accelerate digital transformation while ensuring adaptation to Libya’s specific realities.
North Africa Emerging as a Strategic Market for AI-Powered Banking Technologies
For Backbase, this first deployment in Libya sends a strong signal: the North African market is becoming a strategic target for AI-driven banking technologies. For Libya’s financial sector, this initiative could act as a catalyst for other banks and fintechs, stimulating competition and innovation, while also encouraging regulators to modernize frameworks to support this transformation.
The launch of this platform is the first step in a more ambitious digital roadmap for LIB. In the long term, the bank could develop new digital offerings and services, contributing to economic diversification and financial stability. The challenge goes beyond technology: it also involves building a lasting relationship of trust with clients while adhering to Islamic finance principles.
Libya, a Fertile Ground for Financial Innovation
The collaboration between LIB, Backbase, and OTBS highlights the importance of combining global expertise with local execution to transform the banking sector in North Africa. While the project currently focuses on the digital customer experience, its impact on financial inclusion, regulatory innovation, and sector competitiveness could be long-lasting. Through this initiative, Libya demonstrates its potential as a fertile ground for bold financial innovations tailored to local needs.
