U.S. officials say pressure appears to be building against Gadhafi's regime after months of apparent stalemate. They point at three key indicators: dwindling fuel supplies, a cash crisis and reports of low morale among regime troops. Gadhafi is also facing a cash crisis after Turkey cut off his access, on July 4, to hundreds of millions in Libyan funds held in a Turkish-Libyan bank, they say.
Maybe they're right. They've been saying the pressure would crack Khaddafi for four months now, and it could. Or perhaps Khaddafi can hold on. Smuggling is undermining the fuel cut off:
The areas of Libya under Gaddafi's control are suffering a shortage of fuel. Sanctions make it difficult to import fuel legally and Libya's own refining capacity has been severely curtailed by the conflict.
If supplies get tighter, most analysts say, Gaddafi will no longer be able to hold on. His troops will struggle to travel to the front line to take on the rebels, and the economy will grind to a halt.
But smuggling by networks like the one operated by Yacine and his colleagues bypasses the sanctions and -- combined with fuel from the one operational refinery under Gaddafi's control -- helps keep his government ticking over.
Khaddafi has means to cope with our air power and our blockade. He can't nullify his suffering but he can reduce the pain.
Perhaps long enough for the horse to sing, eh?
