By Kitab Unango
President Salva Kiir Mayardit has made a contribution of whopping $4million to facilutate the post covid-19 economic recovery plans laid down by the government.
This was revealed when the Central Bank of South Sudan unveiled new strategies in a bid to resuscitate the country’s economy devastated by the impact of COVID-19 pandemic.
The strategies could empower the Central Bank to embark on investing in non-oil sectors a budget worth $5.5million to boost South Sudan economy.
The country is facing critical economic crisis due to fall in global oil prices, which accounts for over 90 percent of government total revenues, a huirdle that made it hard for the government to pay civil servants on time.
According to the National Bureau of Statistics, South Sudan’s inflation rate stands at 37.6% as of April 2020, down from 100% in 2019. Despite such a notable decline, market prices of basic commodities skyrocketing at an alarming pace.
Announcing the strategies laste week, the Governor of Central Bank, Gamal Abdalla Wani said it will stabilize the country’s economy as well as strengthen local currency against forex within shortest period possible.
‘’Within a period of about four to five months, we will be looking for a refinery to refine our gold. The process is going on now. It is not only gold which is the plan B, we will also go for plan C which is Gum Arabic, another commodity that will earn us hard currency.
“At least in a space of time, within one or one year and half, we are not going to have the same situation as we are having now. We shall be in a position to have our own gold and the advantage is, it will strengthen our currency,’’ Gamal said.
He added that “The coming of COVID-19 destroyed our economy. As you know we depend only on oil product, which is a mono product that earns us the foreign currency. The prices of oil went down so much that it was not earning us foreign currency for the nation to be able to do whatever they want to do.”
The $5.5million was a joint contribution from Kiir and the Central Bank, with both parties putting in $4million and $1.5million respectively.