The US Congress on Saturday approved a measure lifting a ban on US Export-Import Bank loans to Libya, a move that could help American companies invest in the oil-rich country. Major Western oil companies are interested in investing in Libya's energy sector. The country is believed to have 36 billion barrels of proven oil reserves with 12 fields holding at least 1 billion barrels each. The measure was approved as part of a $388 billion spending bill.
"Direct loans, credits, insurance and guarantees of the Export-Import Bank or its agents may be made available for or in Libya ... if the president determines that to do so is important to the national security interest of the United States" the bill said.
Critics have accused President George W. Bush of rushing to ease economic sanctions on Libya to benefit corporate donors, a charge the White House denies.