Browsing: South Sudan

• IMF: Juba is grappling with economic woes partly resulting from the spillovers of the war in Sudan and recurrent flooding.
• Oil revenues are exhausting because the pipeline that carries 70% of South Sudan’s oil exports has been inoperable since February 2024.
• These challenges are negatively impacting the country’s economic and social outcomes.

The ongoing war in Sudan, as well as floods attributable to extreme weather patterns, have pushed South Sudan’s economy to the red, with reports showing the country suffered -6 percent contraction in the period ending June 2024

In an update shared by the International Monetary Fund (IMF), South Sudan faces “several difficult macroeconomic challenges,” chocking growth in Africa’s youngest country.

The IMF said that authorities in Juba are grappling with economic woes “partly resulting from the spillovers of the war in Sudan and recurrent flooding.” The multilateral lender noted that this double whammy of challenges negatively impacts …

• The EAC’s distribution sector is marred by systemic challenges, despite claims of a working free trade zone in the bloc.
• Stakeholders say that persistent bottlenecks hamper the flow of goods and services across the eight-member area.
• A recent EU-led EAC Peer-to-Peer Learning Conference sought to formulate a strategic action plan to address barriers limiting the industry’s growth and development.

The East African Community (EAC) is an eight-country strong regional free trade bloc in East Africa, by definition, it should mean easier movement or distribution of goods and services, but that’s only true on paper, the reality on the ground is quite on the contrary.

EAC maintains that it is “dedicated to enhancing economic efficiency and fostering regional integration through strategic investments and the utilization of established industries. The goal is to position the Community as a single investment area, harmonizing trade policies, investment incentives, and product standards.”

Protocols demand that …

• The programme will be rolled out in Bahr el Ghazal in the north, Eastern Equatoria, Central Equatoria and Jonglei states, creating 179,200 new jobs.
• UN’s FAO and South Sudan’s Ministry of Agriculture and Food Security have been picked as the implementers.
• The initiative will boost productivity by an additional 350,000 tonnes of rice and sorghum and 2,450 tonnes of fish.

The African Development Bank (AfDB) has approved a $46.2 million grant for South Sudan’s agriculture sector. This grant is set to finance South Sudan’s Climate Resilient Agri-Food System Transformation Programme, which is set to run between September 2024 and December 2030.

Over these six years, the project aims to deploy climate-smart technologies and production systems on a large scale while also strengthening the priority value chains of businesses led by women and young people.

The project brief shows that the project seeks to promote digital agricultural and climate advisory solutions …

• South Africa’s Strategic Fuel Fund (SSF) operates Block B2 in South Sudan in collaboration with Nilepet.
• The company has just completed a major phase of its oil and gas exploration in Jonglei state.
• SSF recently completed undertaking the largest geophysical survey ever done in South Sudan, covering 47,000 square kilometres.

In a move marking the strengthening bilateral relations between South Africa and South Sudan, the Strategic Fuel Fund (SFF), South Africa’s state-owned petroleum company, convened a key meeting with South Sudan’s national oil company, Nilepet, in Juba last week.

The meeting was a highlight of South African President Cyril Ramaphosa’s state visit, underscoring the growing economic ties between the two nations.

The SFF, which operates Block B2 in South Sudan and collaborates with Nilepet through the Nile Orange joint venture, has recently completed a major phase of its oil and gas exploration campaign in Jonglei state. The initial aerial survey …

• Sudan’s humanitarian crisis is the worst in recent history, according to the United Nations.
• One-third of Sudan’s population, that is, 18 million people, are facing acute food insecurity, while 730,000 Sudanese children are believed to be suffering from severe malnutrition.
• World Food Programme(WFP) has delivered food to over 5.2 million people within Sudan since conflicts started in April.

Sudan’s humanitarian crisis

The United Nations Humanitarian Office has warned that Sudan is on the verge of facing the worst humanitarian crisis in recent history. Key drivers of this situation include intensified conflict and growing inter-communal violence, an economic crisis, soaring prices of food, fuel and essential goods, and below-average agricultural production.

“By all measures – the sheer scale of humanitarian needs, the numbers of people displaced and facing hunger – Sudan is one of the worst humanitarian disasters in recent memory,” Edem Wosornu, director of operations at the UN Office for …

• East Africa’s banking giant KCB Group reports heightened operational expenses, which surged to $627 million in 2023, up from $447.9 million in 2022.
• The costs are associated with the consolidation of its subsidiary in the Democratic Republic of Congo, Trust Merchant Bank (TMB),
• Additional expenditures were related to a voluntary retirement scheme as well as litigation fees.

KCB Group, one of East Africa’s banking giants, has reported a net profit decline to $282 million for the year ending December 2023, from $307 million in 2022.

The bank has attributed this decline to increased operational costs and higher provisions for bad loans as primary reasons for the downturn in profitability.

In a period marked by economic challenges and strategic expansions, KCB Group faced heightened operational expenses, which surged to $627 million in 2023, up from $447.9 million in 2022.

DRC-based Trust Merchant Bank consolidation costs

This increase was largely due to …

• Over a decade since gaining independence, South Sudan continues to be affected by fragility, economic stagnation, and instability.
• South Sudan’s economy is clouded by production bottlenecks in the oil sector, with production dwindling in the face of limited new investment.
• The susceptibility of South Sudan to climate change and natural calamities exacerbates the nation’s economic challenges, threatening the progress of growth and development initiatives.

The Republic of South Sudan emerged as the world’s newest sovereign state and the 54^th country in Africa on July 9, 2011. However, the progress of development post-independence was significantly hampered by civil war outbreaks in 2013 and 2016, which also aggravated the humanitarian crisis.

Over a decade since gaining independence, South Sudan continues to be affected by fragility, economic stagnation, and instability. Pervasive poverty is further intensified by ongoing conflict, displacement, and external shocks.

Crisis facing the oil and energy sector

Oil production is …

• Cybersecurity, corruption, and policy shifts have been cited among the top issues that Kenyan businesses will have to confront in 2024.
• In 2022, Kenya suffered a loss of at least $153 million to cybercrime, which is projected to rise by 14 per cent annually.
• A new report ranks Kenya as the second most difficult country for businesses in EAC after South Sudan.

Cybersecurity, corruption, and policy shifts have been cited among the top issues Kenyan businesses will have to confront in 2024.

The latest Risk Barometer by underwriting giant Allianz, reveals that in Kenya’s complex and dynamic business environment, several challenges loom, casting shadows on the entrepreneurial spirit that drives the economy.

The high cost of living directly impacts consumer spending, affecting businesses across sectors. A weakening currency coupled with inflation also threatens businesses and the economy.

According to Allianz Commercial CEO Petros Papanikolaou, the key challenges for companies …

Malaria takes its toll not only in lives lost, but also in medical costs, lost income, and reduced economic output. The annual direct and indirect costs of malaria in Africa are estimated to be more than US$2 billion, according to the WHO.

Partners in Sudan have re-committed to taking action to reduce the preventable impact of malaria on the population and ensure access to quality healthcare services for everyone in South Sudan.

At the conclusion of the three-day event, Vice President of South Sudan Hussein Abdelbagi Akol Agany announced the launch of the “Zero Malaria in South Sudan Starts With Me” campaign to add his voice and commitment towards a Malaria Free South Sudan.…

This year’s progress has been threatened by Russia’s invasion of Ukraine, which has caused a global economic shock that has hit Africa at a time when the government’s policy space to respond to it is small to nonexistent.…