South Sudan government discusses budget, declining revenue
December 4, 2008 (JUBA) — The Government of Southern Sudan (GoSS) today held an extraordinary session to discuss the fallout from the global financial crisis which threatens severe curtailment in oil revenue.
The eight hours meeting adopted a number of decisions including to cut government expenditure including a 10% reduction in compensation for government officials effective next month.
The impacted officials will include constitutional post holders at various levels of GoSS, States, Independent Commissions, Commissioners, Speakers, Deputy Speakers, Chairpersons and Deputy Chairpersons.
GoSS officials will also have to cut down on travel and leave hotels that they occupy per council resolutions.
This 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.
In accordance with the Comprehensive Peace Agreement (CPA) signed in 2005 oil revenue is shared between the North and South.
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.
The GoSS official spokesman Gabriel Changson Chang said that the cabinet meeting agreed to align salary structures of the South with the North.
Chang further said that the council directed the Minister of Finance and Economic Planning to prepare the regional 2009 budget based on an oil price forecast of $50 per barrel, and not to exceed 3.6 million Sudanese pounds.
On Friday, light, sweet crude for January delivery settled at $40.81 a barrel on the New York Mercantile Exchange, down by nearly $3 per barrel. Prices fell as low at $40.50, levels last seen in December 2004.
The GoSS official said that the council emphasized that the 2009 budget should concentrate on socio-economic development services provision, so that the Ministries and units concern are made accountable for their implementation.
Furthermore the meeting discussed methods to enhance large scale farming through mechanization farming system to boost agricultural production.
(ST)
Trueson of Southerner is Back
South Sudan government discusses budget, declining revenue
We have to adopted the spirit of Nationalism,so that we can allocated the scarce resources to met our unlimited wants.
Indeed,we have much resources but they are flying to individuals pocket.
the non oil revenues is more than oil reveues if we come to the truth,but who will control them to come to goverment chest?
Not all the countries that have oil but they are depending on the non oil reveues.
Our goverment has to think twice.
Majok junior
South Sudan government discusses budget, declining revenue
Southern sudan government is needed to build the houses for the MPs and its government officials rather than spending the huge budget for what they so call accomodations,eating money in hotels,buying prositutes with public money and aimless traveling to neigbouring countries using public money as well.Another alternative is that people should rent private houses with in their salaries and stop using our money.
By Majok Junior.
Kur
South Sudan government discusses budget, declining revenue
The government of South Sudan must learn how to reduce unnecessary spending. I hope they have learned from this situation of world financial troubles.