Hi,
I think that most Libyan embassy's are operating these days. At least the one in London one is because that is where we are getting ours done. It might be worthwhile to pop into Knightsbridge if possible and see what they have to say in regards to getting a tourist visa or 3 days transit.
I have definitely seen overlanders here in Misurata (2 guys in an Isuzu with roof tent 2 days ago) throughout the last 6 months so it is doable.
Forget about banks for money changing, everybody uses the gold shops, of which there are many. We use $US and are getting approx 130 LYD for new $100 bills, you will get a less rate for small bills. Euros/Sterling may also be possible to change but I haven't done so.
Best of luck,
CJ.
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