South Sudan parliament approves $47.88m AfDB loan
September 30, 2017 (JUBA) – Members of South Sudan parliament on Monday approved a $47.88 million loan obtained from the African Development Bank (AfDB).
The loan, he told his counterparts, was provided by the financial institution on concession terms for developmental activities in the war-torn nation.
According to the lawmaker, $27.76 million dollars of the $47.88 million was given to the government as a loan at an interest ranging from 0-1 percent per annum while the $20.12 million was given as a grant to the government.
He, however, stated that 14.75 million of the loan will be used to develop the Juba power distribution system’s rehabilitation and expansion project.
$18 million will be used for membership subscription to regional financial institutions, including the Trade and Development Bank, which South Sudan recently joined.
Another $15.13 million, the finance committee chair said, will be for institutional support for domestic revenue mobilization, citing the establishments of South Sudan Revenue Authority.
When South Sudan got its independence in 2011, one of its daunting challenges was how it would diversify an economy, largely dependent on oil revenues, which supports 98 percent of its budget.
(ST)