You can translate WordPress Link Directory into any language using a free application like poEdit (http://www.poedit.net).

poEdit allows you to create a .pot file or .po file which is a table of the English terms vs terms in your native language. This allows people to create .mo files which are the final product: .mo translation table files.

By taking a .mo file from the lang folder and placing it in your WordPress Link Directory folder you are enabling translation. It should happen automatically, though it may need some tweaking to get it perfect. Make sure the file is named in the format wplinkdir-en_UK.mo where en is the language name and UK is the country.


More Info:

http://en.wikipedia.org/wiki/Language_code		- Language Codes
http://en.wikipedia.org/wiki/ISO_3166-1_alpha-2		- Country Codes
http://codex.wordpress.org/Translating_WordPress	- More info on .POT files
http://urbangiraffe.com/articles/translating-wordpress-themes-and-plugins/