"The health situation in Libya is dramatic. We are currently unable to buy what is needed to treat the sick and wounded," health minister Redha el-Oakley said at a press conference at the UN mission's headquarters in Tunis.
"It's ridiculous that Libya has to endure financial difficulties in order to ensure supplies of medicines for its people when billions of dollars are blocked" abroad, he said.
Oakley said even just "one percent" of such blocked funds would be enough to buy "medicines for Libyans for a year".
"Waiting for the establishment of a consensus government is a false pretext used by countries holding Libyan money," he said.
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Oakley urged "the international community to intervene" to help unblock these funds. "This is a humanitarian responsibility," he said.
Chaos has engulfed Libya since the 2011 NATO-backed ouster of dictator Moamer Kadhafi, and rival administrations are being urged to sign up to a UN-brokered national unity government to help restore stability.
The representative of the World Health Organization in Libya, Sayed Jaffar Hussain, was also at the press conference and said USD 50 million in immediate funding was needed.
"The world is interested in conflict zones in Iraq and Syria but forgets about Libya. It is a crisis that must be addressed. Children are not vaccinated and women give birth in their homes," he said.
In January, Oakley said that persistent fighting in Libya had forced the closure or partial breakdown of 60 to 70 percent of its hospitals and that the country needed USD 3 million per day to buy medicine.