The rival government in eastern Libya has submitted its resignation after a number of protests over deteriorating living conditions and corruption.
At the weekend demonstrators in the city of Benghazi set fire to strongman Gen Khalifa Haftar's headquarters.
They also clashed in his stronghold of Al-Maj for the first time.
Libya has been torn by violence since long-time ruler Col Muammar Gaddafi was deposed and killed in 2011 by Nato-backed forces.
A spokesman for Gen Haftar said the administration backed peaceful protests but would not allow "terrorists and the Muslim Brotherhood" to hijack them.
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