Libya: Petrodollars and Peace With the Jihadists

The leaders of Libya's main Islamist opposition group, the Libyan Islamic Fighting Group, are nearing a deal to give up their armed struggle against the government of Moammar Gadhafi, according to a July 7 report from a leading Saudi newspaper. Libya's success in managing its jihadist threat has much to do with the price of oil. With ample cash to spend on buying the support of its domestic opponents, the Gadhafi government appears to be on stable footing to attract much-needed foreign investment for its energy sector.