South Sudan Receives Sh35bn in Peace Deal
Nairobi
The Southern Sudan government has received $491.6 million (Sh35 billion) as its share of oil revenue for the first five months of the year.
Sudan Ministry of Finance undersecretary in-charge of national economy, Mr Alsheikh Almak said the total direct transfers to south Sudan from January to April amounted to $348.81 million (Sh25 billion) while the transfers of petrol revenues for May stood at $93.1 million (Sh6.7 billion).
According to the Sudan News Agency (Suna), the southern government further got $19 million from the petrol fixed price account and $3.55 million from the crude oil. Some $24 million was transferred last April and the residual amounts was paid in last May.
South Sudan government Ministry of Finance under-secretary, Izak Makour said there was a clear vision in regard to sharing the oil revenue adding that his ministry was transparent in the work.
The manager of petrol administration in the south, Mr Yousif Ramadan said there is an agreement between the federal government and the government of the south concerning petrol accounts.
The Finance and National Economy ministry says the full implementation of the wealth-sharing article, the increase of the states’ share from the federal money in addition to the increase in expenditures on agricultural sector were its priorities this financial year.
Others are encouragement of the private sector to increase its investments in projects which help in providing job opportunities and broadening the work markets and focus on realisation of growth and development specially in war affected areas.
To succeed, the government has directed all states, organisations and institutions to consider the institutional and political changes following the signing of the Comprehensive Peace Agreement (CPA).
The agreement was signed in January 2005, between the Sudan People’s Liberation Movement and the ruling National Congress Party with Colonel John Garang signing on behalf of the SPLM while President Omar el-Bashir signed for the government.
Colonel Garang was killed in a plane crash last July and was replaced by his deputy, Mr Salva Kiir who is Sudan’s first vice-president.
Commenting on the agreement, the Finance and National Economy minister Alzubair Ahmed Alhassan said the financial and monetary authority in the federal government will work to implement the wealth-sharing part of the deal with transparency and credibility bearing in mind that the unity of Sudan “is the will and choice of all after the interim period.”
He added that the unity of the Sudan is the greatest challenge facing the economic activity in the future and it needs to maintain the economic stability of the country.
The wealth distribution agreement in the CPA stipulates the allocation of not less than two per cent of oil revenues to the oil producing states according to the produced amounts while 50 per cent of revenues of the oil produced in the southern states will be allocated to the southern government.
The remaining 50 per cent is to be allocated for the national government and the northern states and a fund is to be established for the future generations when the national oil production reach two million barrel per day.
All the funds and accounts mentioned in the CPA should also be within the context of the budget operations, and all revenues levied at the national level or by the national government should be put in the national revenue fund which is administered by the general budget.
The national government should allocate 50 per cent of the governmental non petroleum revenues, levied in southern Sudan to the South, according to the agreement.
(Nation)