Draft Communique of the First National Economic Conference in South Sudan

South Sudan’s Inaugural National Economic Conference Paves the Way for Economic Transformation

By PaanLuel Wël Media Ltd.

Juba, Republic of South Sudan (PW) – In a historic gathering of national and international stakeholders, the First National Economic Conference (NEC) was held in Juba, South Sudan, from the 4th to the 9th of September 2023. Under the theme “Towards a Diversified, Inclusive, and Sustainable Economic Growth,” the conference marked a significant step toward addressing the nation’s economic challenges. The draft communiqué from the conference provides a comprehensive overview of the resolutions and recommendations put forth by the participants.

Key Highlights of the Communique

Appreciation and Recognition

The conference commenced with expressions of gratitude towards H.E. Gen. Salva Kiir Mayardit, the President of the Republic of South Sudan, for initiating the NEC and entrusting the Ministry of Finance and Planning to organise this crucial event. Hon. Dr. Bak Barnaba Chol, along with the Ministry of Finance and Planning, The Ebony Centre for Strategic Studies, The University of Juba, and contributing partners such as the World Bank, UNDP, and the AfDB, were lauded for their successful organisation of the NEC.

Economic Challenges Acknowledged

Participants recognised the dire state of development outcomes in South Sudan, which continue to impact households and communities nationwide. The conference emphasised the importance of addressing these challenges collectively and concertedly.

Governance Cluster Recommendations

The NEC participants endorsed recommendations to enhance governance stability and efficiency in governance. Key recommendations included:

1. Ensuring Institutional Stability: A paramount objective was maintaining stability within the national economic team, fostering a consistent and reliable decision-making and policy implementation framework.

2. Comprehensive Review of Laws and Regulations: A rigorous examination and subsequent implementation of laws and regulations were advocated to ensure they are up-to-date, relevant, and conducive to the nation’s economic objectives.

3. Establishment of E-Government Infrastructure: A pivotal step towards greater efficiency and accountability was the proposal to create an e-government infrastructure. This digital framework would streamline processes and enhance transparency in government operations.

4. Peacebuilding and Reconciliation: Acknowledging the importance of peace in fostering economic growth, the conference highlighted the need for continued efforts in peacebuilding and reconciliation to create a stable environment for development.

5. Telecommunications Infrastructure: Strategic investments in telecommunications infrastructure were deemed essential to facilitate communication, connectivity, and access to information across the nation.

6. Competitive Public Employee Recruitment: To ensure the quality of public servants, the recommendation included the establishment of competitive recruitment processes that would attract and retain top talent.

7. Reduction of Transaction Costs: The removal of checkpoints was proposed to reduce transaction costs and, in turn, lower the prices of goods, making them more accessible to the population.

8. Development-Centered Research: Prioritizing research focusing on development would provide valuable insights and data to inform economic policies and strategies.

9. Resource Allocation Monitoring: Rigorous monitoring and evaluation of resource allocations and milestones were suggested to ensure efficient utilisation of resources and the achievement of developmental goals.

10. National Development Planning Authority/Agency (NDA): An NDA was recommended to centralise and coordinate development planning efforts, ensuring coherence and alignment with national goals.

11. Investment in Data-Generating Institutions: Investments in data-generating institutions such as the South Sudan National Bureau of Statistics would improve the availability and accuracy of data crucial for decision-making.

12. Regional Integration, Disarmament, and Trust-Building: Fostering regional integration, disarmament, and trust-building efforts were highlighted as critical elements in creating a stable and conducive environment for economic growth.

13. Laws Governing Insurance and Microfinance: The enactment of specific laws governing insurance companies and microfinance organisations would provide a regulatory framework to ensure proper functioning and protect consumers.

14. Peaceful, Credible, and Fair Elections: The conference called for peaceful, credible, and fair elections, underlining the importance of a democratic process as a cornerstone of governance.

15. Strengthening the Judicial System: Strengthening the judicial system and upholding the rule of law were emphasised as fundamental to ensuring justice, fairness, and legal recourse for all citizens.

16. Community Policing: An encouragement for community policing was made, emphasising the role of local law enforcement in maintaining safety and security at the grassroots level.

These recommendations collectively represent a comprehensive strategy for governance reform and stability, with the potential to lay the groundwork for South Sudan’s economic transformation.

Service Delivery Cluster Recommendations

During the NEC, the critical importance of public expenditure in crucial human capital sectors, particularly healthcare and education, was emphasised to ensure equitable development. The recommendations in this cluster included:

1. Electronic Payroll System: The introduction of an electronic payroll system and a comprehensive clean-up of the existing payroll to enhance efficiency, reduce errors, and ensure transparency in salary administration.

2. Unification of Tertiary Education Curricula: Advocating for harmonising tertiary education curricula to ensure students receive a consistent and high-quality education across institutions.

3. Technical and Vocational Schools: The proposal is to establish technical and vocational schools to equip individuals with practical skills, address skills shortages, and promote employability.

4. Wage and Salary Increases: Recommendations to increase wages and salaries for civil servants and organised forces to improve their livelihoods and incentivise a competent and motivated workforce.

5. Retirement and Staffing: The retirement of pension-bound personnel to create opportunities to recruit qualified staff and rejuvenate the workforce.

6. Transferring Senior Personnel: Transferring senior personnel across the country to promote unity and a shared sense of purpose among government employees.

7. Primary Healthcare Enhancement: Improving primary healthcare centres to ensure accessible and quality healthcare services for all citizens, especially in rural areas.

8. Student Support Funds: Establishing student support funds to assist students financially, remove barriers to education, and foster human capital development.

9. Formal Recruitment: Advocating for the formal recruitment of long-standing personnel, ensuring transparency and adherence to established procedures.

Economic Cluster Recommendations

With economic transformation at the forefront, NEC participants proposed recommendations to strategically harness oil revenue in productive sectors, particularly agriculture and food security. These recommendations included:

1. Agricultural Budget Allocation: Endorsing the adoption of the CAADP Maputo Declaration and Malabo Commitment to allocate 10% of the national budget to agriculture, bolstering food production and security.

2. Taxation Review: Advocating for a review of taxes on agricultural equipment to incentivise and support the agricultural sector.

3. Farmers’ Cooperatives: Encouraging farmers to form cooperatives, which can enhance their collective bargaining power, access to resources, and market opportunities.

4. Model Farms Establishment: The proposal to establish model farms nationwide to showcase best practices and modern farming techniques, thereby boosting agricultural productivity.

5. Access to Finance and Infrastructure: Emphasizing the need to improve access to finance, infrastructure development, and investments in human capital to stimulate economic growth.

6. Reviving National Agricultural Projects: Recommending the revival of national agricultural projects to rejuvenate the sector and increase food production.

7. Storage Facilities and Food Preservation: Enhancing storage facilities and food preservation methods to reduce post-harvest losses and ensure food security.

8. Security for Rural Farmers: Ensuring the safety and security of rural farmers, enabling them to work their land without fear of conflict or insecurity.

9. Sustainable Mechanization: Advocating for adopting sustainable mechanisation and food preservation measures to modernise agriculture and increase efficiency.

Infrastructure Cluster Recommendations

Infrastructure development assumed a central role in the NEC discussions, with recommendations encompassing:

1. Transition to Clean Energy: Proposing a transition to hydropower and clean energy sources to drive industrialisation and reduce the reliance on fossil fuels.

2. Electricity as a Necessity: Recognizing electricity as a basic necessity and prioritising its availability and affordability to all citizens.

3. Energy Sector Investments: Advocating for substantial investments in the energy sector to bolster capacity and reliability in power generation and distribution.

4. Grand Fulla Project: Supporting the implementation of the Grand Fulla project, which focuses on hydroelectricity and agriculture, thus fostering economic growth.

5. Road Construction Acceleration: Expediting Road construction projects to improve connectivity and facilitate the movement of goods and people.

6. Institutional Capacity Building: Developing institutional capacity in the energy sector to ensure efficient management and sustainability.

7. Broadband Connectivity and Data Centers: Establishing broadband connectivity and data centres to enhance communication, information access, and data management.

8. Transportation Infrastructure: Investment in airport construction, information and communication technology infrastructure, and railroads to facilitate trade and economic development.

9. Pipelines and Ports: The construction of pipelines and dry/railway ports to improve logistics and transportation of goods across the country.

These comprehensive recommendations across governance, service delivery, the economy, and infrastructure represent a holistic approach to addressing South Sudan’s economic challenges and pave the way for a brighter and more prosperous future for the nation.

Monetary Policy and Fiscal Management

The conference called for comprehensive fiscal policy reforms, including operationalising a Treasury Single Account and mainstreaming off-budget programs into the budgetary process. Participants also urged the expansion of the taxation base, capacity building, and a shift towards domestic currency usage. The need for robust debt management and establishing a domestic debt market was also highlighted.

Oil and Petroleum

Participants stressed the need to invest in NILEPET, commercialise livestock resources, implement sovereign wealth funds, and explore upstream opportunities in the petroleum sector. Additionally, recommendations focused on technology transformation, capacity building, and renegotiating existing agreements.

Gender and Youth Cluster Recommendations

To address gender inequality and youth unemployment, the conference called for targeted development projects, school enrolment incentives, credit access for women in business, technical and vocational training, and policy reforms related to inheritance rights and enterprise funds. Additionally, nurturing youth talents in sports and supporting microfinance institutions were emphasized.

Conclusion

The inaugural National Economic Conference concluded with a resounding commitment to ongoing discussions on the nation’s economy, regular benchmarking, and the implementation of conference outcomes. These resolutions signify a significant step towards economic transformation in South Sudan, with the annual NEC providing a platform for continued progress. As the nation navigates its path to economic recovery and prosperity, the comprehensive recommendations emerging from this conference provide a roadmap that, if followed, could herald a brighter future for South Sudan.

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