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Strained Sudan-South Sudan Relations – Who Pays the Price?

Sudan faces a deficit of $10 billion as a result of the secession of the South. It has a total debt of $40 billion, with annual debt and interest payments consuming most of its scarce foreign earnings. Before relations strained, the South was ready not only to mobilise Sudan’s creditors for debt relief but also to assist financially and use its diplomatic relations to solicit financial assistance for Sudan. Given the bad image of Sudan and its low creditworthiness, the South would be in a better position to convince creditors, particularly in the Arab and Islamic countries.

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