While post-revolutionary Libya is still in a state of flux, the post-Qadhafi phase is already witnessing the redrawing of boundaries of ‘insiders’ and ‘outsiders’. Perhaps unsurprisingly, the new ‘outsiders’ are those associated with the former regime. Given the nature of Qadhafi’s regime, these outsiders have tended to come from particular tribes or areas, resulting in whole towns and localities, such as Sirte or Bani Walid, feeling as though they are marginalised from the new political and economic order. These areas have also borne the brunt of revenge attacks by the new ‘insiders’, namely those revolutionaries who fought against the old regime and who have been imbued with a particular symbolic legitimacy. Drawing on insights from the literature on symbolic boundaries this paper demonstrates how these new patterns of inclusion/exclusion are being institutionalised into the emergent political system. By examining mechanisms such as the Integrity Commission, the political exclusion law and the election law, the paper shows which framing processes are being employed by Libya’s new political actors to formalise these boundaries within the nascent political arena. It also demonstrates how political choices about development and distribution of wealth and resources are further institutionalising these new lines of demarcation. Taking an empirical and qualitative approach, the research analyses legislation and decisions that have been issued by Libya’s new political bodies since the fall of the former regime, as well as statements and other literature issued by official bodies such as the Integrity Commission. It also examines literature produced by political parties and revolutionary elements, as well as by the religious establishment. The researcher moreover draws on the local media and on work by Libyan academics and commentators. The paper argues that the way in which symbolic boundaries are being redrawn and incorporated into Libya’s emergent political system is creating a new class of ‘outsiders’ and that their exclusion bodes ill for the future of the country and its transition to a modern democratic state.