Military Monetary Policy: Rebels Set Up Central Bank

Libyan rebels plan to set up a national oil company and central bank based in Benghazi as an alternative to the institutions of President Muammar Gaddafi, the Gulf newspaper The Nation reported Thursday.

A group called The Transitional National Council, made up of rebels from Benghaziagreed Friday to create the Libyan Oil Company and the Central Bank of Benghazi and appointed an interim oil company director and bank governor, The Nation reported.

"It is a realistic move … but it will take some time to get anything logistically up and flowing," Samuel Ciszuk, the senior Middle East energy analyst at IHS Global Insight, told the paper. "There are several hurdles to pass before it will be legally feasible for western companies to deal with them."