Human Resources Development in Libya Its Effects on Economic Development

IntroductionLibya is among the best countries in Africa with particular reference to resource endowment (Afele, 2003). Oil, a major economic driving resource in the current global setting is in abundance in the Libyan country and as a result the country is expected to be ahead in terms of economic development. However, the economy has not attained its full potential. On this basis, this paper examines whether human resource development has been in tandem with the requirements of the countrys economy. Development is a function of a host of factors, as a result it is important to carry out a research to affirm or deny the hypothesis that human resource development has affected the development process in Libya. Through the use of survey methodology, questionnaires are to be used in finding out the real effect of human resource development on the Libyan development.

Background
Developing human resources is a key area when viewed in reference to the Libyan economy. The Libyan country occupies a big geographical place though it has a population of about 5.5 million citizens. Thirty percent of these individuals fall below the 14 year bracket, further to this, about forty percent are under the thirty year mark. This indicates that the vast majority of the Libyan citizenry is young (OECD - Organisation for Economic Co-operation and Development, 2009).

On the basis of the United Nations Human Development Index, the Libyan country is ranked number 56 amongst 177 countries across the globe. In Africa, the Libyan country is ranked first while it emerges fifth in reference to Arab world. The United Nations measure takes into account the education, health, and GDP statuses in coming up with the ranking (OECD - Organisation for Economic Co-operation and Development, 2009).

Despite the above realization, issues regarding construction of new schools, roads, hospitals, seaports, airports, housing facilities, power stations, and other infrastructural facilities may go a long way in helping the country in developing its human resource sector. The state has also considered providing social help with a view to helping the health system. Reforms into the social security set-up in the country are under consideration before state authorities. Reforms of this magnitude are expected to aid in the creation of business opportunities and facilitate the transfer of knowledge. It has been however noticed that human resource development has failed to keep pace with the expansion program as presented above (Otman and Karlberg, 2007).  

Going by the funds set aside for higher education in the country, it becomes clear that the state is keen n human resource development. On the basis of the recent expenditures, university education is assigned around twenty five billion Libyan dinars each year, a trend expected to go on until 2014 (Otman and Karlberg, 2007). New measures have also been developed to increase training levels in particular reference to medicine and science. Britain an ally of Libya in recent years also welcomes Libyan students with a view to imparting into them useful skills.  This view is supported by the fact that up to seven thousand five hundred students study in the UK. Leading institutions like CASS business school, the School of Oriental and African Studies, London School of Economics and Political Science, and Liverpool Business School, have set links with Libyan institutions of learning. The British Council has mad a valuable contribution which facilitates knowledge and skills transfer to Libyans under the age of thirty (Otman and Karlberg, 2007).

Women are an important component of the human capital in Libya. Up to thirty percent of women who fall in the working age are believed to be in paid employment. Many Libyan women train in different professions and thus help towards developing the Libyan economy. The association of business women augurs well with this position as this organization extends loan facilities to women (Otman and Karlberg, 2007).

Despite this realisation, the human resource development still lags behind in the Libyan economy (Kamoche, 2004). If the country is to unlock its full potential, then the authorities must facilitate the development of human capital towards unlocking the countrys development agenda.
There is bias in the Libyan country which tends to favour Libyan workers (Birks and Sinclair, 1980). However, this is constrained due to the mismatch attributable to what is offered by the country educational system and the actual work requirements. This has led to a concentration of high expatriate workers in the country as they offer what employers look for in employees. However, there is still a shortage of manual labourers leading to an attraction to less skilled employees to the country (Afele, 2003). The Libyan labour force is estimated to be composed of 20 percent foreigners (OECD - Organisation for Economic Co-operation and Development, 2009). This presents a significant proportion thou it remains way below the other countries in the Persian Gulf region. Foreign workers have come from the Maghreb, Turkey, Egypt, India, Thailand, the Philippines, Vietnam, Chad, Sudan, Poland, and Bosnia and Herzegovina.  On a relative basis they earn more as compared to locals doing the same work. On the strength of 2000 census data, 20 percent of the expatriates earned LD 300 in a month as compared to 12 percent of natives earning the same (Weiss and Green, 2007). A campaign speared headed to convert civil servants into entrepreneurs as public sector employment is exaggerated has failed.  The poor development record in Libya is attributable to the poor development in the human resource department (Oxford Business Group, 2008).

Research problem
The Libyan country ranks among those nations endowed with abundant natural resources with particular reference to oil (Farley, 2008). Despite this fact, the country is yet to attain developmental status reflective of her potential (Morony, 2003). This leads to serious questions concerning the real issue behind sluggish development in the face resource abundance. The closed nature of the countrys approach to outside engagement in the recent past may be partly responsible for the problem (Bovill, 1958). However, the glaring realization that the countrys human resource segment is poorly developed may provide the reason behind poor development rates registered in the country. It is on the basis of this uncertainty that a research into the role of human resource development in the Libyan economy is put into perspective.Question of research

The question of this study is based on the role of human resource development on the economy. Has human resource development affected the development of the Libyan economy

Importance of study
This research is of critical value to both scholars and the Libyan country stakeholders. The scholarship community derives value from educational activities of this nature. This paper raises key issue area concerning economic discourse as a result, the research is a useful addition which enriches academic studies. In the same line of thinking, the research will prove a useful guide to future researchers who may intend to further examine the topic. As realized in the background information, Libya is facing a human resource crisis as exhibited by the hiring of expatriates including non-skilled ones. The research is thus valuable as it informs all key stakeholders on the state of affairs. This is important as it offers reason for action by the Libyan authorities.

Methodology
While examining how human resource development impacts on the development of the Libyan economy, the use of questionnaires in carrying out a survey should be considered. Information relating to the number of individuals who undergo training in different schools and colleges in Libya and outside the country are put into perspective. The details on the actual number of graduates are sought. The information indicating the actual number of expatriate employees in the Libyan economy is also sought. Further to this, statistics showing the levels of income earned by both expatriates and locals is collected. However, the time and cost factor demand that this study be carried out through the use of literature review.

Aim of research
The major objective of this research paper is to identify how human resource development impacts on the progression of an economy. Focusing on the Libyan case, the research intends to examine how poor development in the human resource aspect undermines the potential of the country. the research also shows how poor development of human resource exposes the country into losing funds to  foreign expatriates as such individuals are invited to fill the vacant positions. Worse still, the research aims to show that foreign expatriates earn more than natives, an aspect which drains an economys resources.

Conclusion
On the basis of this paper, it is inferred that human resource development is positively correlated with overall development in Libya. The fact that Libya has not realised its developmental potential may be attributable to the poor state of human resource development in the country.  

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