Analyst Business Monitor International's Libya Infrastructure Report 2014, for example, says, “[because of] the ongoing violence and the lack of a strong political mandate in government, we believe more serious reconstruction will take time to filter through."

“We are not forecasting reconstruction to generate one boom year of growth, but rather strong, albeit gradually slowing, growth over the medium term, with double-digit growth expected each year until 2018,” the report adds.

The analyst predicts a 25% growth for Libya's construction industry to peak at 27% in 2014. The industry contracted 79% in 2011.

HIB also says funding remains a major hurdle towards achieving the originally projected 200,000 homes in seven years. HIB says Libya will have a housing shortfall of 500,000 units by 2020.

The housing agency sought $25 billion for projects in the current financial year but has been allocated $1.1 billion.