South Sudan Ministers agree to budget, centralizing taxation
December 7, 2008 (JUBA) – The Government of Southern Sudan (GoSS) Council of Ministers in its meeting Thursday agreed to the 2009 budget, which amounts to SDG 3.6 billion.
Out of this, SDG 1.1 billion will go to the States to make States shoulder some responsibilities in developmental projects.
The regional budget was prepared based on an oil price forecast of $50 per barrel, which is higher than the current price at international markets.
Oil exports represent 65% of revenue for Sudan and helped fuel its unprecedented economic growth despite US economic sanctions. However a severe global financial crisis sent oil prices down more than 70% from its all-time peak of $147.27 reached July 11.
In accordance with the Comprehensive Peace Agreement (CPA) signed in 2005 oil revenue is shared between the North and South.
Last week the Sudanese national assembly approved the 2009 federal budget which forecasted a 44% drop in its oil exports revenue to $3.6 billion in 2009, down from $6.4 billion.
The council, chaired by GoSS President Salva Kiir Mayardit, also resolved to centralize taxation under the GoSS Ministry of Finance and Economic Planning, and all the tax collectors must be employees of the Ministry.
In a press statement to the Southern Sudan Radio and TV, the Minister of Information and Broadcasting Gabriel Changson Chang said that the council resolved elimination of double or triple names from the payroll.
Chang said that the council directed the Ministry of Finance and Economic Planning to take quick measures in concentrating on revenue collections by establishing branches of Commercial Banks at border entry points.
He further said the Council of Ministers also resolved to take measures to decentralize the Government of Southern Sudan, including giving states power of exercising developmental activities.
The Council also resolved to speed up a pension scheme so that the elderly employees’ names on payroll should be pensioned.
(ST)