South Sudan scrambles for funds as war in Sudan disrupts oil exports, minister

 April 8, 2024 (JUBA) – South Sudan’s finance minister, Awow Daniel Chuang, painted a grim picture of the country’s economy, which is heavily reliant on oil exports and now faces disruption due to the war in neighbouring Sudan.

In a statement aired on state media, Chuang acknowledged the struggle to pay civil servant salaries: “The ongoing conflict has significantly impacted oil flows through Sudan, a crucial export route for South Sudan. This, coupled with our dependence on oil revenue (over 90%), has created a critical funding shortage.”

He assured citizens that the government is taking action. “We’re working tirelessly with relevant institutions like the revenue authority, central bank, and the ministries of finance and petroleum to secure funds for government operations and salary payments,” Chuang explained. “Efforts include seeking short-term support from friendly nations and exploring alternative revenue streams.”

The minister highlighted the plight of civil servants who haven’t received salaries for months. “We understand the hardship this situation creates, especially with rising market prices,” he said. “While a one-month salary won’t solve everything, it’s a start. We’re committed to finding solutions for outstanding salaries.”

Chuang emphasized the need for economic diversification. “Overreliance on oil is unsustainable,” he declared. “We’re exploring other avenues like agriculture, livestock, and fisheries to build a more resilient economy. We’re also encouraging citizens to engage in productive activities that contribute to long-term stability.”