South Sudan Nile Commercial Bank out of cash: official
By Isaac Vuni
April 23, 2009 (JUBA) — Southern Sudan based Nile Commercial Bank (NCB) has run out of cash to meet its obligations, the clearest sign to date of the deepening financial crisis facing the semi-autonomous region.
The cash strapped bank has been unable to honor withdrawal requests from its clients who have deposited their own salaries. The bank has advised impacted customers to wait indefinitely.
Bank officials have pointed fingers at some officials at the Government of Southern Sudan (GoSS) saying they are to blame.
The Assembly branch manger in Juba, Marta Michya alleged that some senior GoSS officials borrowed “huge amount of money but failed to repay”.
“Hence we told our clients to wait until the borrowed money is paid back” she said.
The NCB official added that some of the money has been loaned out to some of these officials without proper collateral.
South Sudan has suffered along with the North of the sharp decline in oil exports which accounts for 93% of its 2009 budget.
GoSS has implemented strict fiscal measures to control spending as part of the efforts to weather the economic crisis.
Government officials, World Bank and Joint Donor Team representatives described the financial situation in Southern Sudan as “serious.”
Last month the Governor of the Bank of Southern Sudan (BoSS), Elijah Malok warned that NCB already in financial crisis and on the verge of total collapse.
He also cautioned that the few other private banks in Southern Sudan may soon follow suit.
The Assembly branch manager said that opening bank accounts with them is a stipulation for employees to get their monthly paychecks cashed.
A bank’s client who declined to be identified told Sudan Tribune that today “even if one wants to withdraw 100 Sudanese pounds, the bank tellers kept on delaying it for more than one month now.
The client was denied a withdrawal of 800 Sudanese pounds.
The NCB website says that the bank was established in 2003 and has 20 branches in Southern Sudan and offices in Northern Sudan, Kenya and Uganda.
The non existence of basic infrastructure in South Sudan and the lack of banking knowledge among the population constitute great challenge to the banking sector.
There were recent reports that the commissioner of Western Equatoria fled to Kenya with $1 million to Kenya during Easter holidays; speaker of Eastern Equatoria was accused of stealing 36 millions dollars.
It was also alleged that $240 million were found in Benjij Hotel Juba when the hotel caught fire and that millions of dollars were caught being smuggled out of south in a coffin.
However there were no independent confirmations of these reports.
(ST)
Ayuen Buol mum
South Sudan Nile Commercial Bank out of cash: official
The CEO of the Bank is to be blame because there are regulations that govern the lending to the individual and lenders. the rule of the Bank is to reserve a sum of money for depositors who put money in the bank. And people that lend money must have money in the bank to make sure if the lender fail to repaid back then his/her money will replace the laon.
they need a regorious financial regulations to make bank as a commercail to the public as will as the GOSS need some action to control those private banks.
Student from university of Illinois.
Akol Kiir
South Sudan Nile Commercial Bank out of cash: official
This is a huge embarrassment for us Southerners, now we’ve shown the Northerners that we can’t rule our selves. I am voting for Unity!!!!!!!!!
Manga Bernard Manga
South Sudan Nile Commercial Bank out of cash: official
There we are” Now we need to learn from this lession. Always when we have glton heart, we will alway face problem.
I think money is new to south Sudan that is why some of us take it as there personal thing. Goss officials should not also take NCB as there Bank of Southern Sudan of which people take money witouht accountability.
A coffin is not made for money but dead body. Shame on those use coffin for money, that is not a good heart for dvelopement but robbery heart.
Justin Chicago opiny
South Sudan Nile Commercial Bank out of cash: official
Fire the Boss of NCB and question the Boss of BOSS this is a cryistal clear thing that we can not deliver. How can BOSS and NCB fail us like this. Plz, hire only people who can,and leave those who can not. Goss is driving us nut with people who believe only in becoming rich over night with public money. Money in Coffin,Hotels and so on where are the right people for the right job at the right time.
AUGUSTINO DENG
South Sudan Nile Commercial Bank out of cash: official
These two people namely Salva Kiir $ the feign Dr Riak Machar,know about why Nile Bank run-out of money. If not, then why Nile Bank was formed? This is because to keep the National Monetary Funds for the seek of the country. On the other hand, borrowing money from the bank is not bad anyway, but you get have some money in the bank apart from the money you want to borrow. I know that it doesn’t happen in that way because these two people namely feign Dr Riak Machar Teny and Salva Kiir Miyardit, are they cause of mess to why the Nile Bank is empty or run-out of money.
It is an absurd news to hear that the Nile Commericial Bank of Southern Sudan is out of monetary. This proves that these two people are not ready to sustain the dignity of the Southern Sudanese people who were been traumatically suffer in hands of the fucken-domainence people in Khartoum. SPLM claim that they are going to do an election(Inticabat) with Khartoum Government. How are they going to make election and they don’t have foundation? They don’t even know how to deal with the GPA of the country. SPLM is a big mess. I believe that changing of these two people namely Salva Kiir and the feign Dr Riak Machar Teny, will make sense because they are out of management.