Archive for April 20, 2019

South Sudan Commercial Banks as We Know Them

Posted: April 20, 2019 by aljokd in Junub Sudan

By Malith Alier, Perth, Australia

Saturday, 20 April, 2019 (PW) – News is coming that the five-year old war is taking a toll on the pillars of the economy among which are commercial banks. Some banks are in deep trouble more than others as we speak. They have run out of cash and are technically insolvent – can’t pay creditors or depositors.

The history of the mushrooming commercial banks started in 2011 towards independence. This authored attended an initial meeting organised by Bank of South Sudan Governor, late Elijah Malok Aleng. In that meeting, he encouraged the owners of the so many foreign exchange bureaus to come together and establish commercial banks as one way of pooling resources to raise capital.

That advice was taken in a wrong way and wealthy individuals rushed to established banks as single or family shareholders contrary to the law and expectations in the country. The only banks operating in the country before the rush included; Kenya Commercial Bank, Equity, Ivory, Nile and Buffalo.