Archive for the ‘Business’ Category


By Dut-machine De Mabior, Nairobi, Kenya

Garang, Kiir, Riek and Wani

John Garang, Salva Kiir, Riek Machar and James Wani Igga

November 17, 2015 (SSB)  —  The other phase meant for twelve (12) to eighteen (18) months was outlined as below;

S/N To be rehabilitated in 12-18 months Lengths in km
1 Bor-Pibor-Pochalla-Gambella 300
2 Wau-Raga-Boro-KafiaKing 530
3 Wau-Aweil-Merem-Bahanusa 520
4 Wau-Gogrial-Wunrok-Abyei-Kadugli 560
5 Rumbek-Maper-Koch-Bentiu-Pariang-Kadugli 610
6 Malakal-Nasir-Jekou-Gambella 390
7 Jekou-Daga-Yabus-Kurmuk-Damazine 300
8 Nadapal-NewSite-Chukudum-Faraksika 130
9 Malakal-Waat-Akobo-Pibor-Pochalla 270
10 Ayod-Waat-Akobo 209
                                                                                                 Total=3,819 km

(more…)


Oil in South Sudan Theory is Life

By Stephen Owet 

This a theory to let the Government of South Sudan aware that oil in South Sudan is not a curse but rather a gift to pave the way toward prosperity and for South Sudaneses and South Sudan to catch up with today’s modern development quickly.

In short, modern development is not a forceful mean of changing people or other countries’ lifestyles or culturals and traditions to think of the past as nothing quickly as possible. It is rather being defines as the way individuals do things for themselves and their country step by step without disturbances from any outsider or others, but not a short cut to rape off other countries, cultures or traditions and governments out of their wills or not to try to force people to do thing as immediate as possible and it is not even an event to undertake or put people within a country at war or it is not to loot oil while war is taking place in a country. That is not what modern development is. Now, think of the development or production of oil and what it means to South Sudan and South Sudaneses. Think, think!   What does oil mean to you and why are South Sudaneses being evilly eyeballed because of the oil in South Sudan.   Even those who have once been good friends of Southern Sudan before independent of the Republic of South Sudan in 2011 have started to follow those who have been judging South Sudan and South Sudaneses as enemy because of the oil discovery in South Sudan. Now, think!

When we take a close look at the oil, it is better not defined as just crude, petroleum, gas, benzene, fuel for vehicles, gas as in house or industrial gas as some sorts of heat to heat up room buildings and cities during the cold seasons, but mostly in winter. In other word, some optimists but naives could rather put the oil as a means of money and power, but we have come to notice that oil is not just about something to do with money, power or energy as described by some pessimists who do not want others to know why South Sudan and why rallying behind bosses with big weapons while people are being massacred in the name of oil. Here, we are not trying to tell about cooking oil or thing like sunscreen oils or oil for hairs or lotion. The oil we try to brief is massive mean of petroleum by-products or crude oil which natural gas, gasoline, methane, etc are produced from. Oil is a life for any nation that has categorized itself as “West” and it runs deep, deep and deep from generation to generation in Western worlds. Without out oil, West and some other countries would fate away in just a couple of years ahead and their homes and towns would only be lived by ghosts without any human factors or man-made disaster involved – that is why Western Nations are fighting any country with oil globally. Now, hesitate to question this theory on why USA and some NATO countries are fighting some oil-rich nations in Middle East and Africa such as in Democratic Republic of Congolese (DR. Congo), Central Africa Republic (CAR), or Libya and now South Sudan, but for the rest of the World, it is a different look at South Sudan.

World views at the oil as source of life because they have waken up earlier and learnt that without oil some countries in the cold Hemispheres such as Western Nations would be ghost worlds, and industrials, towns, buildings and houses would be abandoned if they (Western nations) don’t fight to get and store as much oil before the developing country like South Sudan comes to understand that oil is life now a day. Despite life, South Sudan looks at the oil as a mean of income and revenue for the countries and as per se calculation of oil revenue in South Sudan is way enough to feed, develop, buy and manipulate or alienate foreign powers for the benefit of South Sudaneses. Watch!

Before the late Dr. Garang de Mabior, the late father and the leader of the SPLA/M, oil was a source of life according to his mind and it was once his other secretes which he did not share with some of his colleagues in the movement before his departure for rest. anyone who has no understanding about oil as source of life today – (though late Dr. Garang did not share his own theory about oil with them, who stuck with the SPLM leadership) and the one who looks at the oil as just oil – (some within the agents and agency-to-be for the government in South Sudan) always aims and accepts bribes from foreign nations to destroy or disturb life of civilians in Southern Sudan. Others with limited understand to what oil is all about or what oil can do and what oil means always try to create a looting routes or vacuums for those dishonest surveyors who come from the oil-greedy-nations to do some oil wells illegal-surveys and for them to have a genuine information about where the oil is located in the Republic of South Sudan while the war which they have been creating against South Sudaneses is taking places.

For South Sudan, oil is now life and to take that life they, greedy foreigners and their companies usually end up killing South Sudaneses by bribing eager militia leaders or some South Sudanese leaders to create some sort of conflicts as military interventions to panic civilians to think of leaving their homes in South Sudan. But those leaders and their militias don’t know that oil is life now a day. Despite the Republic of South Sudan being the newest county in Africa and World, some major powers and other minors look at South Sudan as steak in a plate because of oil, and if South Sudan or South Sudanese’ government becomes resistant or ever dares to resist or provoke the demands from those oil-greedy major countries, they take another look at South Sudan and South Sudaneses at home and abroad as beef running on its feet, and without steak, the riches who cannot live without steak on their plates cannot win life; they would perish in cold before they reach their next ten decades. Don’t go uh; it is a theory and perfect discovery! These are the countries which are playing tough games against South Sudan and South Sudaneses behind closed doors. Just take a good look at the way Russia and Pro-Russia handle Western Nations and G7 nations when it comes to natural resource issues and mostly oil, the energy which is now the source of life. You would be amazed what a capable nation like Russia handle those who nations who have guts to rape Russians off their resources. Won’t you? Another example is Cuba, the nation that has survived beside the giant, the United States of America, USA which has once positioned itself as the toughest country against Cuba’s independent. Will brief this later.

Would you rather see world going to war because of Russia being resistant or would you rather see the world going to war because of South Sudan refusing to be looted? For the sake of the majors fearing majors, World will not go to war because of Russia being resistant. Russia and Pro-Russian have their own mission to rule the world for another term and Russia being Russia and Russia being resistant because of oil, it is like a call for World War III, but no country needs the world to go to war any time. Russia wins often. Any country that always looks at Russia as an intimidator to their life because of oil, such a country will always back down herself/himself just by looking into the future and what World War III would cause if it is launched and by avoiding military offensive against Russia for a diplomatic efforts as a solution to calm down the Government of Russia. For Russia being super in its governing fields among this metropolitan societies of today, it will always negate another decision that is made by others – do not know how many but that is how Russia plays. Avoid World War III by avoiding attack on Russia as a group or single. Well, unlike South Sudan and South Sudanese’s government, there is another way of playing and winning the oil war globally.

As South Sudan or South Sudanese’s government, the only way to keep on playing this brutal and none stopping oil wars is to alliance with major countries who are closest or some how close enough to South Sudan just or in cast some greediest and major countries attempt to engulf South Sudan with its natural resources. There is a best way to win the oil war in this changed, and fast growing modernized world of today. South Sudan can and will always win the oil war for South Sudaneses. This may be by siding with country like United Kingdoms, United States of America, China, Pakistan, India, Japan, South Korea, Germany, France, or Ukraine, but that could just be a ruin to South Sudan and South Sudanese’s economy because the rest of the world have already learnt from those countries that those nations’ governments are only working for the people of theirs. They don’t steal from their people or their governments but they are confirmed to steal or loot from any weak (in term military) but rich (in term of natural resources) country. Once a small country that is natural-resources-rich becomes friend with a country like United States of America’s government or with any nation that shares the same interest with United States of America, U.S.A., that small always become no longer a nation of its own, but part of U.S.A.’s states. Best Example: Saudi Arabia.

Speaking of Saudi Arabia, Saudi Arabia’s government has once contributed to the destruction of Southern Sudanese life before the independent of the Republic of South Sudan and right after Saudi boosted relationship with United States’ government between the years 1991 to 2001. Though U.S.A. was looked by the world as a best justified nation that sees every country as innocent and independent of it own as it can be, technically, U.S.A.’s government has aided the former Sudanese government to murder Southern Sudaneses by using Saudi Arabia’s government as a base and means of financially funding former Sudanese Army/government to launch and test former Sudanese Rebel, the SPLA’s capability between ‘80s’ and 2000s’ and before year 2005. Saudi Arabia has been used by the USA’s government to fund and freeze Southern Sudanese’s economy and delay the independent of South Sudan.

This gets worsen for Southern Sudaneses every time “Democrat” Party in U.S.A wins election, but with “Republican” Party in U.S.A., Southern Sudaneses are always fine. No matter what corner in the world Southern Sudaneses live – if Republican Party in USA wins election, Southern Sudaneses are always fine at home and abroad. For quick instance review, you may recall the pain Southern Sudaneses have experienced when “Bill Clinton” was in the top presidential seat of United States of America, and now South Sudaneses are genuinely feeling twice the pain from President Barack Obama’s terms in the office because President Barack Obama is running as “Democrat,” and Democrat is not and will never be a political or any diplomatic solution for South Sudan and Africa’s economy as whole because Democrat is running after oil in South Sudan and as well as after every small but natural-resources-rich nation’s oil across the globe.  The oil game which United States of America is playing is not that bad and cannot sanction big countries but it will always hurt small countries.

It is not okay to alliance with USA as whole but for the sake of South Sudaneses’ interest, “Republican” party in USA has always been working hand-in-hand with southern Sudaneses for the interests of life and advancing development to boom among southern Sudaneses in Southern Sudan and abroad and across the globe – even before the independent of the Republic of South Sudan. Reading this does not mean “Republican” party of USA is favourited by South Sudaneses because as a Republican in USA, “Christianity” comes first in the back of Christian-Americans and because majority of South Sudaneses are Christians, Republican party in USA always favourite South Sudan to be an independent, peaceful, prospering and justified nation just as other Christians based countries are brought up. Well, if that is the reason why South Sudaneses like conservative-Americans to lead USA so that South Sudan would never be rape off of its oil and natural resources, let it be. Best leader which southern Sudaneses have come to know when it comes to helping South Sudaneses to develop their homeland South Sudan is “George W. Bush,” before Democrat-lead government of President Barack Obama come to office in USA. He, George W. Bush has worked with former SPLM leader, late Dr. Garang de Mabior and South Sudanese President Salva Kiir.

Since his election as the President of United States of America, George. W. Bush and Condolissa Rice have played a major role to helped Southern Sudaneses and make South Sudan and the former Autonomous Government of Southern Sudan fixed. Now, Southern Sudan is Republic of South Sudan and the Autonomous Government of South Sudan is Government of South Sudan permanently. And even Dr. Riek Machar has agreed to keep South Sudan and South Sudaneses under on umbrella of SPLM for the sake of the united Republic of South Sudan. From then, no political or military turmoil has every erupted southern Sudaneses to the point where South Sudaneses has to kill themselves and divided themselves ethnically or tribe by tribe and/or divided south Sudanese army to who or what to destroy.

Conservative-Americans in USA understands too that there are things that people can change and those changes are not to be done by forces of any kind, but leave them for the nature to take its tolls, and there are things that people cannot change at all and if humans try to change things by forces, they are creating chaos for the entire population or country. They too, do believe that oil in South Sudan is not a curse and since it is located in South Sudan, it is belong to South Sudaneses.

The alert of theory is to make this a wake up call that oil in South Sudan is not a curse and this argument too has once let former South Sudanese Secretary General Pa’gan Amum Okiech and his other eleven top SPLM politicians to prison in late year 2013 and it was all because of the Obama’s American-lead government ideologies which has actually emerged from the American’s liberal-lead government – to try to a forcefully change South Sudaneses and South Sudan’s definition and as whole and as well as the SPLA/M vision because of oil in South Sudan. Obama’s liberal-lead government is the one who arrested twelve top SPLM politicians and which has led South Sudanese ex-Vice President Riek Machar to accept accountability from the opposition-lead army in South Sudan against South Sudan Army, SPLA. Because SPLM vision was going to be diverged by the ideologies of the American liberal-lead government for oil in South Sudan through South Sudan President Salva Kiir Miyardit, ideal South Sudanese SPLM politicians refused to sale South Sudan and accepted prison rather than betraying SPLM vision and South Sudaneses’ interests.

Once Obama’s lead-liberal-American government learnt that they have made a mistake by trying to change South Sudan and South Sudaneses through forceful means by ruining SPLM vision, the same American government of President Barack Obama’s lead-liberal government sent the United States America’s Secretary John Kerry to come and advised South Sudanese President Salva Kiir Miyardit that they, American government agents and agencies of American President Barack Obama have made a mistake. Therefore, release the former arrested SPLM politicians and President Kiir did, he did release them SPLM politicians as a mean to stop war that was started in January 2014. Despite conservative or liberal viewing South Sudan and South Sudaneses differently because of the oil in South Sudan, South Sudan and South Sudaneses side with whoever cannot and will not axe and/or will not and cannot starve South Sudan and South Sudaneses at behind the back or in behind a closed doors.

Directly or indirectly, Australia could play the best alliance but it is far away from South Sudan and South Sudan could be knifed at night while Australian government is trying to fly her/his fighter jets to try to rescue South Sudan. Therefore, Russia is well advanced and Russia could be the best bet because Russian government does not wrestle with republican-lead government in USA even if there is a failed leadership or aborted business collaboration between South Sudanese government and other nations which are alliance with United States of America. America is far and the best part of it is that American government has been starving South Sudan at behind the closed doors by using foreign countries’ militaries. Example: In 2013 political and military warfare among South Sudanese government agents took place between the months of December 2013 and now, Ugandan army and Ugandan air force have been used by the American government of Barack Obama’s lead-Democrat to target and attack South Sudaneses even though it was not American war or Uganda’s war.

Joint USA – Uganda Air Force and Uganda Army have been attacking South Sudan and now, foreign armies have invaded South Sudan’s oil production regions of Bentiu, oil wells in Jonglei and in Upper Nile of South Sudan and Dr. Riek Machar have been very slightly argumentative about those types of invasions. As a oil greedy nations’ armies, fired army force could be the only mean of controlling South Sudan and South Sudanese Resources by South Sudaneses themselves because foreigners and their armies have failed to listen by dishonoring South Sudaneses on their land. From this point, South Sudan has come to understand that oil is life though it used to be a mean of income and revenue.

If South Sudan learns – which implies that South Sudan has learnt to put a dog colour eye glasses in his/her eyes and look at all oil invaders as one enemy of South Sudan despite their colours of skins or missions, South Sudan will and will win any oil war. 1). Because of oil as life, South Sudan can survive any threat like Cuba that lives next to the former major enemy of his/her and the World’s assumed rated number #1 very super power country, the United States of America (USA). Be it nuclear or atomic bomb, South Sudaneses can survive in it; few will go because of the sacrifices which are made for freedom, and most of South Sudaneses will live and ripe the benefits of freedom just like Cuba after. 2). Because of oil being a life, nobody needs to tell who to leave where and when. As South Sudaneses, you do not need to respect any invaders in your homeland; be he/she black or white folk.

Dress your eyes in dog colours so you can judge them, invaders alike. South Sudan is about to become everybody’s turf because of oil and it is up to South Sudanese warriors to make South Sudan a home for South Sudaneses and South Sudaneses’ generation to come. Dog colour is a good judgment! As it was once quoted by Nguendeng and Deng and phrase by Nyikango before, “the mightiest who does not respect boundaries shall fall, and the majors who respect boundaries will live.” Collaboration is what it takes.

Collaboration, collaboration! In business, there is always exchange, follow of money, resources, commodities, exchange of power, cons and pros, etc. But if any of the one freezes (for example commodities froze), exchange of power always gets it way into business as a mean of control, corruption or thefts and to prevent lawsuits by creating war or fighting against the country or against the one who was cheated by the super power who cheated.   As in cast of South Sudanese government, a lot of cheating was involved and those cheating have almost made South Sudan to collapse and fall in the hand of foreigners.   This means let’s put it this way, what country would and have once sanctioned the Republic of South Sudan from owning or leasing Fighter Jet Aircrafts and Anti-missiles, missiles, modern Anti-Tank and modern Anti-Aircraft weapons as a mean to secure South Sudan’s air space and to protect civilians from being bombarded by any enemy or foreign aircrafts in South Sudan?

Well, there have been quite a few and as you all know, USA’s Democrat-lead government, Ugandan government, Saudi Arabia’s government, and five other capitals have objected South Sudan to own means powerful security system in place to protect South Sudaneses. Those nations who have said no for South Sudan to own major defense systems have been the countries which have yearned to find the way to break into South Sudan’s security and create war and they did.   Those nations understand that South Sudan being rich with natural resources like oil, and to them, oil is life; they put South Sudan on hold to open rooms for violence and routes to steal oil revenues from the hands of the South Sudanese government agents and agencies that have been taking care of South Sudan and South Sudaneses. 3). Because of oil, South Sudan has now become another place of scramble for energy for life just as Africa used to be to Europe.

When looking at the big picture, most of South Sudaneses who are suffering in South Sudan and abroad, are South Sudaneses whom original hometowns and houses has been build on or close to the oil fields before the wells were dug or drilled and it has been a policies designed by those who have agendas to kill South Sudaneses slowly because of oil and take South Sudaneses’ oil after they, South Sudaneses are dead. This has been a policy, and only a blind person cannot see it or anyone who cannot feel cannot feel that political pain abroad and at home in South Sudan and it is all because of oil. Now oil is life for South Sudanese just as the lat Dr. Garang de Mobior had noticed, and oil being life, it is for sell and to feed and develop South Sudan and South Sudaneses; oil in South Sudan is not for sharing.

Oil in South Sudan is not a curse and the oil in South Sudan is not a woman to be shared. Oil in South Sudan is for South Sudaneses to sell, and it is for South Sudaneses to do what they need to do with oil revenues or incomes in South Sudan. It is not up to the foreigners to make a decision on what to do about oil in South Sudan because none of any South Sudaneses have ever been allowed or invited to share any foreign oil incomes or foreign oil revenues before the oil was discovered in Southern Sudan. Relatives have been suffering because they are being threatened by the oil-greedy-nations at home and abroad. Relatives’ life was taken away from them because of oil, but oil can also buy away the life of individuals, firms, or countries who took life away from relatives of South Sudaneses. This is not a “call before you dig” here; it is a theory and it is an attempt to count who lost her/his life since the independent of the Republic of South Sudan since July 2011. The reasons why South Sudanese government is looking toward Russia and Pro-Russia nations as a mean to do trade in oil business in South Sudan is just as late Dr. Garang de Mabior would have wanted.

Well, the difference between Russia and other none Russia is simple, correct and honesty way of doing business with friends without cheating and without starving friends in business in the in back or behind closed doors. Russia like China does not cheat in businesses or any government type businesses. If Russian government ever signs any business relating government affairs with foreign nations, as a government, Russia always avoid conflict to keep friendship strong even if they look at a nation which they are doing business with as one of the small countries that can be rape off easily. With United States of America or any country that shares the interest with U.S.A., that is a different look when oil business involves.

As for United States of America’s government, doing business involves cheating and destroying the smalls after advantages has been taken from the smalls, it is like gambling in unlawful clubs where guns and big guys rules, no matter whose right it is for USA, but mostly Democrat-lead-government in America has a sentiment to play dirty games against South Sudan often; any Pro-USA’s Democrat-lead government has also adapted the same system because they always weighing war as a group like gangs against one nation which they America and pro-America governments have interests to rape off any small nation because of oil. Now, when was the last time anyone has heard and seen U.S.A.’s government went to war without any of the NATO or G7 countries accompanying USA to war? Never; USA never go war a lone to rape off foreign oil. And for a respect point of view, neither USA, NATO nor G7 nations takes laws and orders or listen to UN, the United Nations’ leadership. Another example: If Russia signs an agreement that he/she, as a government of Russia has to give a country which does business with him/her in exchange of that country’s commodity, Russian government never and can never fail his/her business friends and as for oil business in South Sudan, Russia or Russia alliance nations are good as late Dr. Garang de Mobior would have wanted.

As for South Sudaneses and their oil, South Sudaneses look at oil as income and revenues, but after that, they have learnt that they are being killed of oil, and some have lost relatives and quite handful of them, South Sudaneses have immigrated so far away countries and across oceans. South Sudaneses have learnt that oil is life. Despite oil being a life, war and restless lifestyle which some South Sudaneses had attempted to leave behind, there are firms of oil businesses and individuals with or countries-which do not need South Sudan to be a peaceful country. They still view South Sudaneses like oil on walking on it feet and that look itself can amaze human being – when someones or firms look at you as if they are looking at oil itself. It is not a normal look especially when somebody says he/she is a South Sudanese, they look at him/her as if he/she is carrying oil in his/her body!

The more South Sudaneses are being view as oil, the more South Sudaneses learn that oil is life and it being a life, it is for sell but not a shield to be used as a tool for destroying other countries’ life or people as many nations who are about to run out of natural gas, fuel or energy have done to South Sudan and South Sudaneses so far and behind the closed doors. Until then, it had never come to south Sudaneses’ practices that time has come to play too. Put those who have aided your enemies and let you flee the place of your birth as a refugee for other countries into the judgment point of view with a dog colour-eye-glassese in your eyes and lion shoes on your feet, with an elephant ears on your head, and live like an amphibian and fly out of water like a bird into the sky and fight for your oil because South Sudan and South Sudaneses are now depending on it, oil.

Invaders are about to trick South Sudaneses because of oil being a life. Thinking of oil being a life means enough discoveries because in the past, thoughts used to be devoted on food as a source of life and then water but then global communities started to fight over water resources too. Water does not finish and world stopped scrambling over water resources. Then, they have discovered that in order to live a better life and happy you have to have enough money to hire people to grow crops – develop farms and/or build things to protect and make you free and strong enough for life in your territory, but as the world grew older, power, but life is now switched to oil.

Oil has become the source of life where by a massive means of wealth or money are generated from and this huge money is one that can be used to buy things, employ individuals, buy companies or feed countries or buy enough food and security, build things for countries, companies or individual, to be able to buy any massive means of military offensive to control any strong enemy of individuals, companies, or countries, to be able to live free of threats in the air, on the ground, etc… and the list goes on.   As South Sudan, it is time to buy, rent and lease as many food, weapons such as fighter jet aircrafts, gunship, anti-missiles/anti-tanks/anti-aircrafts, missiles, tanks, plus military, ammunitions, weight war and pay your strongest friend to destroy your strongest enemy and for you being South Sudan, the super rich. Oil can destroy or make your enemy wait outside your territory just by putting protective mechanisms in place. Another example is that enemies’ life can be taken away by using oil and life or friends’ life can be protected by using oil.

As for South Sudan, play and put no boundaries between you and your enemy; you can penetrate into any security system of any country (major or minor who once assisted your enemies to kill your people) by using oil and because at the end of the year 2150, most of the oil-greedy-nations who have once immorally eyeballed South Sudan will run out of fuels such as natural gas, gasoline and any petroleum products. Play South Sudan! If you can swim in oil, you can rule the sky and make oceans to be your bed, and land, your bench. South Sudan owns oil and because others consider oil a life, South Sudan own life. Go South Sudan Go!

For a brief in this theory, some African leaders have made some mistakes against South Sudanese and those mistakes were made because of oil inside South Sudan. Instead of giving the government of South Sudan a room to breath, some African leaders have pushed the envelops against South Sudanese by force to President Salva Kiir and his government so he, President Salva Kiir can panic and go off the security bridge about South Sudanese Safety. It is those African leaders that have let Salva Kiir to misinterpret the genuine SPLM vision. First, Salva Kiir with his eyes blindfolded by the oil money and African leaders, he has forgotten that he was once the most reliable officer among security officers in the SPLA/M leadership in ‘80’s and until he became the leader of the SPLM after the late father of the SPLA/M Dr. Garang de Mabior in the year 2007. Before Salva Kiir became the President of South Sudan, he used to be aware and make sure that SPLA/M security is not penetrated or broken by any mechanism between the years ‘80s and 2007, and he, Salva Kiir Mayardit passed. That is why Salva Kiir Mayaardit was appointed to lead SPLM and Autonomous Government of Southern Sudan.

For the sake of South Sudaneses’ safety, Salva Kiir would by then have understood that he was the one in control of the SPLA/M leadership even when late Dr. Garang de Mabior was still alive because if the SPLA/M security had broken down from that time – the time when SPLA/M was still weighing gorilla war against former Sudanese government/army, there would have been nothing called “Sudan People’s Liberation Army/Movement in South Sudan or in Sudan as whole. Therefore, security matters; it is the third thing human being needs in life after food – water & shelter. If SPLA/M security could have broken down, South Sudan would by now stand like a fragile state, but SPLM security did not break down between the year 1983 and 2013.   As a thank you, Commander Oyai Deng Ajak, Peter Gathoth Mai, David Yau Yau, Dr. Adwok Nyaba, etc, and the earlier SPLA leaders like Karbino Kuanynyin Bol and William Nyuon to mention few. You have done a magnificent duty to keep SPLA/M security in it healthy shape.

Kudo to you all! Remember: instead of inviting other African leaders and their businessmen to party with South Sudaneses inside the Republic of South Sudan while South Sudan is still fresh, President Salva Kiir could have put strong security system in places in each and every part and corners or border of South Sudan. As for foreshadowing, all former old Sudanese leaders including current Sudanese President Omaro Hassien Wä’ Pa’shiro, they all have been doing the right job when it come to securing country as whole – gate by gate, border by border and that has been why none of any African countries that borders whole ever attempted to penetrate Sudanese land/border without any proper and thorough check or permission.

Instead of partying with other African leaders or friends inside South Sudan, Government of South Sudan could have put every nation across the continents on hold until South Sudan is stable and secured because, as a new country, no one has a clue among South Sudaneses about who is the wolf-a-sheep skin or who-is-a-lion in a cow’s body and who-is-a-bomb-in-a-bread-dough or who-is-a-poison-in-a-drink yet. Until the new country, South Sudan is secured, security matters before inviting your friends to come over and have party. Security matters. It is the strongest foundation of social life, development, education, health, freedom and life itself and since oil is a life now a day, missing security is a missed life.

As for an advice, it would be an asset to fully drain out all foreign businesses/workers, all foreign armies including all security forces from United Nations and African Union’s and anybody who is fire armed but is not member of South Sudan Army, the SPLA to pave the way, strengthen the security system in South Sudan for South Sudaneses to be able to cope with today’s modern development. All other political parties should be banned from operating in South Sudan because that is where foreigners found a vacuum and nose into South Sudanese government affairs. Only SPLM and South Sudan Army, the SPLA must continue the work of government in South Sudan. The ones who call themselves oppositionists (Army or movement/party) must be cleared out, let to live outside South Sudan border or join the Government of South Sudan, the SPLM (Sudan People’s Liberation Movement) and South Sudan Army, the SPLA (Sudan People’s Liberation Army) until South Sudan is secured enough.

And, for the leadership issue in the SPLM, Salva Kiir has to continue playing as the SPLM leader with other eleven ex-prisoners and if not Salva Kiir, former South Sudanese Secretary General Pa’gan Amum Okiech or one of the eleven has to lead the SPLM. Another person that could play SPLM leadership is previous South Sudanese Vice President Dr. Riek Machar, but if and only if he, Dr. Riek agrees to join the SPLM leadership as a Ministry or Presidential Advisor or Vice President of South Sudan if Salva Kiir will not declines his position as a President and a leader of the SPLM first. For the sake of the unity and united South Sudan and South Sudanese peoples, those separatists who always like to keep South Sudan divided and at war with itself, and to create room to allow foreigners to cheat or steal from South Sudan – while their relatives and children hide overseas or in other countries, Dr. Lam Akol Ajawin with his SPLM-DC and Dr. Riek Machar with his SPLM-IO must understand that South Sudaneses and South Sudan do not need any ideology opposes to the SPLM vision. SPLM-DC and SPLM-IO need to rally behind SPLM as soon as possible and omit those DC and IO because united South Sudan with one political party, the SPLM is what South Sudaneses need and it is what makes South Sudan united and secured.

As for author, my father late Kuol Owet (former member of the artilleries and SAM (Anti-Aircraft) operator unit in Fashoda Battalions, SPLA) died while he was still in this business thing calls SPLA/M Vision. You fail me, you fail SPLM/A, South Sudan and South Sudanese. Oh, you understand I live abroad, but you have no idea about what I am working on to keep SPLM Vision alive too eh. And, as for you Lawmaker or Justice “Pagan Amum Okiech,” you are Chollo just like me, but remember to put Chollo or who is who things aside for SPLM Vision, South Sudan and South Sudaneses as whole, and do not try to do something stupid and leave SPLM for your own obtuse; do not try and create something out of SPLM like mad scientist Dr. Lam Akol Ajawin with his madness because we have been with you Pagan Amum Okiech from every footstep you have taken, and don’t forget who have been getting you out of prison in Khartoum and Juba.

Make oil in South Sudan a life for South Sudan and South Sudanese interests in the name of the SPLM Vision, South Sudan and South Sudaneses at home and abroad; do not leave SPLM even table because Salva Kiir has saved you, and life of other eleven political pals of yours, prison was the safe hide for you and your all. You could have been killed by those greedy-separatists out of the SPLM’s unit. That is how father makes good judgment for his children and President Salva Kiir has done just that by protecting you all from being killed because you are all SPLM members.

In conclusion, oil is life; O.I.L.

Stephen O. Kuol Owet (Stephen Owet)


By the end of the six year Interim Period I want Southern Sudan to be earning at least two billion dollars from oil revenues, two billion dollars from tourism, at least six billion dollars from agriculture and other enterprises, so that we have annual revenues of at least ten billion dollars. All this requires peace and stability all over Southern Sudan. Over the six years I want Southern Sudan transformed into the heaven on earth of Africa….” Dr. John Garage De Mabior, June 30, 2005.

By Apioth Mayom Apioth, USA

In sub-Saharan Africa, peasants excel in great numbers. Because each peasant lives in total solitude from the next neighborly peasant, they have no means of collectively coming together to become a force to be reckoned with in the political affairs of their constitutional governments.

Meanwhile, the rent-seeking statesmen in the cities, who are far less copious numerically than the peasants, have the political clout to make their voice heard. For the peasants to be effective drivers of economic developmental efforts, they ought to be given full throttle ownership of the land on which they farm; and that could be extended to banishing state-ownership, a dubious relationship which is seen time and time again as a major hindrance to the capital accumulation and entrepreneurial capacity building.

Whenever political elites skew away the savings, garnered from doing transactions with the peasants, the peasants are in turn left with scant proceeds to innovate and expand their technical expertise.

Also, by becoming the sole owners of the land, they can prevent environmental degradation from soil erosion and the likes of deforestation. Vibrant financial establishments, free from the squalid influence of the ruling elites, need to be created to help further the provisions of research and expertise facilitation.

International donor agencies could chip in once in a while to help protect peasants from further scavenging from the ruling statesmen. They could also lend their technical know-how to the peasantry communities until they have developed the entrepreneurial capacity to take a lead in spearheading their affairs. South Africa is unique from their counterparts in sub-Saharan Africa in that the peasants do not make up the big chunk of its population.

For that scenario alone, the ruling statesmen do not have the peasantry population to tamper with. Even if that were the case, their rights could have been protected by the constitution, a sagacious judiciary, and an independent mass media that acts as a fortification shell from unwarranted encroachment of the political elites.

All in all, the peasants in sub-Saharan Africa need a conducive bridging vehicle to the international markets, rather than constantly lay in wait to sell their hard-won products to the private-owned cooperatives of the ruling statesmen, which are the sole thieving culprits of their agricultural surpluses.

For democratization to become the launching pad, and thus, the guiding light of our progress and prosperity, it must be equitably extended to all the major actors involved, leaving no one untouched including the elite statesmen and the peasants themselves.

Since the dawn of independence, our elite statesmen have been using the state power to live lavish lifestyles to the detriment of our poverty-stricken masses. They saw climbing to the top tier of the political order as an easy route to wealth acquisition.

Industrialization failed to take a quantum leap largely because they were laying in waste of melancholic stupor doing all sorts of unimaginable things: chief among them was heavy taxation; charging high energy bills; making it less likely for the private owners to innovate from the lack of accumulated capital.


Scrutiny of South Sudan’s Oil Industry:

Community Relations, Labour Practices and Impact on Land Use Patterns

PAX, the lead agency for the European Coalition on Oil in Sudan (ECOS), is launching a new study “Scrutiny of South Sudan’s Oil Industry.” Based on fieldwork conducted from 2010 to 2012, it analyses community- oil company relations, labour practices in the sector, and impact of the industry on local land use patterns in South Sudan. The objective is to inform government policies and regulations, and suggest improvements for petroleum sector practice in order to reduce tensions between the oil companies and local communities.

In the current conflict in South Sudan, the fight for control over the oil fields and key towns in the petroleum-producing states has once again cost many innocent lives and continues to inflict immense human suffering. Additionally, the insecurity caused oil production to fall dramatically. This jeopardises future production and the viability of the sector, and with that, the economic viability of the entire country. Petroleum revenues should be used to develop the country and build a viable, democratic South Sudan.

Another round of peace negotiations is currently being held in Addis Ababa. When the conflict is brought to an end, the petroleum sector again forms the backbone with which to build a viable state. That state is then responsible for ensuring the sector is managed for the benefit of the people. This report provides guidance on specific social aspects on how to realise that objective.

The report is available online at:

www.ecosonline.org/reports/2014/Scrutiny_of_South_Sudans_Oil_Industry.pdf

or: www.paxforpeace.nl/home


By Jacob Dut Chol, Juba

The ferocious debates of South Sudan joining East African Community (EAC) bloc has tore the academics, policy practitioners & politicians and a more importantly and recently the citizens of South Sudan. These debates have been heightened with the recently appointment of the high level committee to negotiate South Sudan accession to the East African Treaty.

For those who do not know about the bloc, East African Community comprise of membership of Kenya, Uganda, Tanzania, Rwanda and Burundi. The bloc has signed three important protocols: Customs Union, Common Market and Monetary Union. South Sudan application was submitted on November 2012, given observer status and promised admission in April 2014. But a question begs, is South Sudan ready to join EAC bloc now?

The country national interest prompted by realist theory or zero-sum game determines political and economic integration. Once the country has measured and calculated the cost and benefits through critical research and analysis and finds benefits to outweigh the cost then it can start the process of educating its citizens about the potential integration and its national interest. This is known as real politik. Thus South Sudan joining EAC should be analyzed on the pre-conditions of EAC constitutive treaty.

To phrase the treaty, article 3, section 3 lay out the following prerequisites for acceding to the bloc:

a)     The interest member state must be committed to accept the community the way it was founded.

b)    The interest member state must adhere to the universal principles of respect of human rights, fundamental freedoms, political & economic rights and rule of law.

c)     A member state must be within geographical proximity

d)    A member state must have modern and market driven economy

e)     An interested member state must adhere to democracy and democratization.

If you look at the above pre-conditions, we can say with confidence that South Sudan meets number C but still building its institutions to achieve the other four pre-conditions. However, given that the admission to regional integrations are determined by political game matrixes and interests of other members states, it is not surprising that other members of the bloc would with open arms admit the Republic of South Sudan.  But what would be the core benefits of South Sudan joining the bloc?

Well, as alluded to earlier, the interaction of members’ states in the EAC bloc is dictated by three essential protocols of Customs Union, Common Market and Monetary Union. So should South Sudan join then it has to ratify these three protocols to participate in the community activities, unless special exemptions are made which should also depend on the quality of negotiations. A modest analysis of these protocols puts South Sudan at political and economic risks. For instance, the protocol of Customs Union means that members of EAC have centralized payment of customs’ duties at one entry point. For example, South Sudan goods can be cleared at coastal port of Mombasa; duties paid there and transport through Uganda freely till South Sudan. This looks like an advantage given that the country is landlocked and has to rely on either Port Sudan or Mombasa’s shipment of its goods.

However, give it a critical look, this does benefit South Sudan economically. This is because the centralization of customs duties payment would require well trained and discipline Customs officers to look at the interest of South Sudan at the pool of the customs duties paid at one point. South Sudan does not have well trained, discipline and non-corrupted Customs Officer who will take care of South Sudan revenues once paid. Moreover, since the Custom Officers are neither trained nor exposed, they will be manipulated by the well trained and professional Custom Officers of other member states, particularly Kenya. This will make South Sudan to score look in securing its customs revenues in the bloc.

Secondly, on the Common Market, the country will battle it out with the survival of its domestic industry. To be sure, Common Market means reduction or elimination of tariffs duties in trade and investment opportunities amongst the EAC members’ states. It means that there will be free flow of goods, services and persons to trade and undertake economic development in members’ states. This means citizens of these regional integrated countries will move freely and do economic activities. South Sudan in this Common market will be seriously disadvantaged, look now even before joining the EAC bloc, the domestic market of South Sudan is 70% foreign owned. The population of members of EAC in South Sudan is closed to a million and it has already dominated ICT, financial, manufacturing, construction, hospitality and service industry and even will still dominate the virgin agriculture sector once the infrastructure and security situations turn better.

This further means that competitive giant multinational investors would push out South Sudan entrepreneurs making them redundant and in lieu repatriate profits back to their mother countries as currently done by Kenyan banks. Besides, the local labor, jobs done by the semi-literate and illiterate persons would entirely be taken over by the aggressive East African citizens as they have already done it in Konyo Konyo, Jebel and customs markets.

What is more, the literate population of South Sudan is 27% while that of Kenya, Uganda, Tanzania, Rwanda and Burundi stand at average of 71%. Thus joining such highly complex and modern market will make South Sudanese be at serious demerit since they will lack skills in competing with highly innovative and intellectuals’ EAC citizens. South Sudan is a consuming nation with single export that is oil commodity piped through Sudan. With devastated domestic market that lack subsidies, the country will continue to imports basic commodities from the EAC members’ states spending all millions of dollars in abroad economies without domestic production. This shall affect the real exchange rate, a condition known, as Dutch Disease given that one commodity export will lead to appreciation of dollar making the economy more pathetic.

Thirdly, on the Monetary Union, the country will be competing with the highly developed EAC economic institutions. It also means that there will be harmonization of macro and fiscal policies for all the members’ states. This shall be done through the East African Development Bank (EADB). Looking critical at South Sudan economic institutions such as Central Bank and Ministry of Finance, there are no strong fiscal policies to regulate inflations & deflations such as public auction of security bonds, unified exchange rate and injecting of subsidies to markets. Coupled with this, are lack of the stock exchange markets to encourage comfortable floating of shares and strong insurances companies to cover investments. Since there shall be single currency and perhaps Shilling shall be legal tender for members in EAC bloc, South Sudan shall be in economic tsunamis due to reliance heavily on imports and inadequate reserves. Monetary Union shall also affect national development strategy since unification of economic policies shall be effected.

For instance, Uganda in revival of EAC in 2000 was requested to change its Growth and Development Strategy model to suit what the others East African members have done. Rwanda was compelled to adjust its National Economic and Development Strategy to suit others. Since these countries of EAC have commonality of being agriculture producing states, it was with more ease adjusting their economic development paradigms. However, South Sudan is a post conflict case with enormous petroleum, a rare resource in EAC and thus forcing to adjust its own National Development Plan would adversely affect its unique path of development and prosperity.

Finally, joining EAC bloc is a great idea but on a wrong timing given that South Sudan would not enormously benefits from its membership.  When I asked my students in a regional & political integration class in University of Juba whether South Sudan is ripped to join EAC bloc or not, 92% objected, not convinced of concrete benefits the bloc would add in social, economic and political progress of South Sudan.  However, It would be important for the recently appointed high-level committee on EAC to negotiate the position of South Sudan very well. Given that 99% of members appointed are politicians, it is advisable that they constantly consult South Sudanese experts on regional integration so that they will not be handed over already prepared papers by experts in Arusha to only sign them off. Moreover, accession to regional bloc is an important national matter that should not be rushed, al least South Sudan can prepare itself in the next five years so that it will have to benefit as a country and its citizens as well.

Before Rwanda acceded to the treaty in 2007, it created a Ministry of East African Affairs in 2004 to educate the Rwandese citizens about the benefits they were going to receive. The Ministry with the experts carried out a nationwide survey and extensive research to critically evaluate the benefits in the community.  Even when Rwanda joined in 2009, it had negotiated very well two years’ exemptions in implementation of the Customs Union and Common Market. South Sudan can borrow the Rwandese model so that it can socially, economically and political calculate the benefits of membership. After the Customs Union, Common Market, Monetary Union, the last leg of EAC integration would be political federation. Is South Sudan prepared for this? I do not think so! Thus if South Sudan leaders do not critically analyze the pros and cons of acceding to the EAC bloc, widely consult experts and citizens on this national decision, then they shall be committing political and economic chicanery.

Mr. Chol is a Senior Lecturer of Regional & Political Integration at the University of Juba, founder and Executive Director of the Centre for Democracy and International Analysis (CDIA). A research and an academic think-tank based in Juba. He can be reached at dutsenior@yahoo.com


 By Garang Atem Ayiik, Juba

Immediately after independence, South Sudan lodged an application to join the East African Community (EAC). In April 2013, the community secretariat sent a committee to verify if South Sudan meets the community’s admission criteria. The findings of the committee were that South Sudan met many criteria.

In November 2013, South Sudan was asked to form negotiation structures by the community in preparedness for admission into the community. In March 2014, His Excellency Salva Kiir Mayardit, the President of the Republic of South Sudan, forms a committee primarily made up of the government ministers to lead the negotiation.

The priority attached to joining the community by the government can be interpreted from three different viewpoints: economic incentives, political considerations and security concerns. During the war, SPLM and South Sudanese received and continue to receive assistance from East Africa countries; this together with economics sense could form the basis for analysing prospects and importance of joining the community.

From South Sudan perspective, His Excellency Aggrey Tisa Sabuni, South Sudan’s Minister for Finance, Commerce and Economic Planning, in his presentation during the Investment Conference in Juba in December 2013, outlined the economic gains that are likely to accrue to South Sudan resulting from joining the community, namely: increase exports; institutional, legal and business environment improvement, capacity development and security improvement.

As the wind of globalization blows, it is understood that nations are obliged to accept best practices and liberalizing economies today is a necessity for a better ‘world and regions’. However, countries in the region had in the last 50 years created institutions that are the bedrock of managing their economies, an advantage an infant South Sudan doesn’t have yet.

The EAC countries have common economic structures, namely market driven exchange rate, high literacy rate, diversified economies, functioning fiscal systems, sustainable public debts and inflation rate. These economic indicators show economic convergence of these nations.

It is possible that EAC economic priorities could be the same given the convergence of their economic indicators. However, this is not absolute, the simmering heard between Tanzania and Democratic Republic of Congo on one side against other members point to underlying differences on economic priorities. South Sudan needs to understand the causes of this tension – it origins and economic arguments.

South Sudan sees access to about 140 million markets as a road to increase exports. This is a fallacy because it is not true that South Sudan’s exports are not increasing now because she is not a member of EAC. In reality, South Sudan only exports are natural resources whose markets are not and might not necessary be within EAC soon.

In the short term, joining the community will not in any way enhance the country’s export. If anything, it will inhibit the ability for the government to groom it local goods and services. South Sudan agriculture production needs live-breathing in form of subsidies and other pro-poor programs. Tools that are likely to be lose if she joins the community.

Increasing exports is largely a function of improving structural impediments to production like access to technology, access to capital, entrepreneurship training, infrastructure improvement and security. Incentives can be created internally, and any increase in production can be consumed locally.

My view is that South Sudan needs to focus on imports reduction strategies for now and thereafter, if local production increases to exceed local consumption, South Sudan can switch her strategies to export enhancement. This in my view will take years, and that is why prioritization of exports now is a wrong economic dose prescriptions.

There is also a possibility that health and safety standards are likely to curtail any progress to export non – natural resources exports whether to EAC or elsewhere. Lack of certification for professionals like lawyers, engineers, accountants, dentists and doctors will reduce their competitiveness in the community and hence services exports is not a dream in a short term. All these points to a fallacy to say exports will increase when South Sudan join EAC. In essence, it is clear South Sudan balance of payment will NOT improve in a short term.

The other benefits that South Sudan expects to get are security improvement and capacity building. South Sudan can still gain these issues from a bilateral approach. Nothing more or less is South Sudan likely to enjoy after joining the community. From theoretical analysis, South Sudan will lose more than its gain from a short term perspective. There are going to be serious institutional shocks.

As a country that depends on oil transported in unreliable and sometimes unsecured gateway, South Sudan admission to the community possesses serious challenges to herself and to the community. As an importing country, the local prices depend of exchange rate, though currently fixed, long halt to oil production will affect the ability of Central Bank to defend a fixed rate.

The above scenario has deadly economic implications. First, fixed rate goes against the principle of market driven and hence against the spirit of EAC treaty. Second, if South Sudan liberate its exchange rate, inflation rate is likely to increase causing misery to her citizens.

Third, if South Sudan does not liberate her economy, any modification for preferential treatment of South Sudan will complicate the implementation of the community’s protocols. With all these implications why would South Sudan rush and why will the community accept a country with such huge risks? South Sudan should be left alone with the arts of economic war to fight it challenges in good faith.

South Sudan as a one-resource economy is at a risk should anything affect oil production. In such time, a fiscal space to borrow and fiscal policy to mobilize local revenue is critical for economic survival. But in accordance with the customs union, and common market protocols, South Sudan will lose such economic crucial economics tools.

If admitted, preferential treatment that will  be given to South Sudan will create complexities of administering the protocols, and more importantly, the experience of Eurozone where weak economies caused financial stress is a warning to any attempt to turn a blind eye to the inherent risks.

For now, South Sudan should be given an observer status till such times it has created institutions that will help the community achieve its objectives. This will create a relationship between South Sudan and the community in readiness for full admission.

Secondly, such status will protect the region from associated risks of admitting South Sudan fully; thirdly, it will allows South Sudan to retain its monetary and fiscal policies to lay a foundation for a stable economy in readiness to join the community and fourthly, it will give South Sudan first-hand experience in navigating joint economic policies. South Sudan and community can’t ignore the immense macroeconomic divergence between them; it is an economic suicide especially for South Sudan.

In the interim, key priorities for South Sudan should be to establish strong economic team to support her economic integration positions sectors-wise, and engage its citizens; secondly, to start mainstreaming the integration into her economic policies and in the short term, adopts a bilateral approach with its neighbours and an observatory status with the community.

Now, the dice is cast; it is up-to South Sudan to refuse the old wisdom that state that you can’t test the deep of the water with all your feet and equally, it is up-to the community to ignore due diligence mechanisms put in place by its treaty. As for South Sudanese, they are waiting to participate-if it is going to be a politicians driver process, it will be a true economic and political coup against the citizens of South Sudan.

Garang Atem Ayiik is an independent economic commentator on South Sudan economic and Policies. He can be reached at garangatemayiik@gmail.com


Corporate Good Governance and public financial institutions: The need for their transparency in Africa continent.

 By Morris Mabior Awikjokdit

“This piece is an attempt at presenting the topic at hand and hopefully that the readership will gain a point or two out of it. But warning: the topic is as vast as controversial and promises to remain so for at least some time to come! Recognizing such, this attempt is made to present some of the underlying principles of the vexed issue with the ultimate to justifying the clamor for citizenry information on the need for accountability from public financial institutions as espoused by the overarching principles of informed participation, transparency and democratic accountability based on universally accepted standards upon which the right to access information which is factual, reliable, wholesome, timely and objectively verifiable is based”.

Second, there is the need for calling on public financial institutions in particular to further recognize the need to review and amend their information disclosure policies to bring them in line with the dictates of and for sound public financial management, transparency, probity and democratic corporate accountability to facilitate and ensure compliance and best practice.

Content

Democratic accountability is a pivotal aspect of all governance structures in general and public financial institutions in particular such that the right to access information held by public bodies, in both government and Non-governmental, as well as those holding and/or employing public finances or finances intended for the public use, is a fundamental human right, set out in Article 19 of the United Nations Universal Declaration of Human Rights which articulates or provides for the right to “seek, receive and impart information and ideas” as important.

Such right to information plays a crucial role in promoting an array of salient social values to the extent that availability of reliable, factual, wholesome, objectively verifiable and timely information is increasingly been recognized as the” life-blood of democracy” and constitutes a corner stone in engendering and mainstreaming meaningful participation which, in itself, constitutes an important tool in combating bribery and graft which are central to democratic good governance and accountability.

The premise is that a free two-way flow of information i.e. feed forward and feedback which constitute concrete basis for well meaning participatory public policy generation (and evaluation), dialogue, participatory decision-making, effective, efficient and impact-oriented project or programme delivery mechanisms and management which constitute key elements in the “rights-based approach” to sustainable human, socio-economic and institutional development.

In presenting the topic, an attempt is made to first, and foremost, describe the fundamental principles and their ramifications.  Basically, there are nine (9) such principles commencing with Principle 1 which articulates and underscores “The Right to Access” recognizing it as fundamental and a legally-binding human right guaranteed under international law and, consequently, requires or dictates that public financial bodies adopt comprehensive “access to information policies” giving effect to this right.

Such policies need to ensure genuine presumption that access will be given to all information held by the institution, subject only to limited exception known as the principle of maximum disclosure. Coming hot on the heels of this principle is Principle 2 which details Automatic Disclosure demanding that public financial institutions need to willingly disclose and broadly disseminate, at low cost, a wide array of relevant and timely information on and about their structures, policies, finances, procedures and decision-making processes such that automatic (routine) disclosure to ensure and facilitate basic flow of information from institutions and for the public to meaningfully partake the in decision-making processes becomes institutionalized.

This basic minimum encompasses the following categories of information: (1) Organizational procedures, rules and directives (2) organizational policies, strategies and guidelines (3)Budgetary and financial information (4) analytical frameworks and guidelines (5) detailed information on lending, grant, credit and guarantee operations and (6) evaluations and audits pertaining to effectiveness of the institution in meeting its locus standee, objectives and targets. Information dissemination should be through both electronic and other public communication and outreach networks. Updated information should be equally disseminated and where feasible, translated in the vernacular.

Principle 3 provides for access to decision-making underscoring that institutions should disseminate information (in a timely manner) which includes drafts to ensure that the citizenry effectively access and understand it and more importantly, establish a platform for presumption of public access to key meeting. For this to be realized, certain conditions, i.e. “Conditions Precedent”, must be met. Absinitio, institutions need to aptly describe their decision-making processes which should include providing for a list of upcoming opportunities to provide for, inter-alia, public input vide consultation to identify decision benchmarks. The public should also be able to participate and decide on as to when and how they will be able to access such decision-making.

Second, information required for public participation in decision-making should be disclosed in a timely fashion to enable stakeholders and affected parties to provide for feedback ahead of final decisions making. Thirdly, the information should reach those likely to be affected by the decisions through outreach mechanisms and processes that are most appropriately. Last but by no means the least, dissemination should be in a form that is comprehensible to the public.

Principle 4 constitutes the right to request for information with the understanding that every stakeholder has a right to request for and receive information from financial institutions, subject to only a limited regime of exceptions. Procedures and processes for processing such requests need to be simple, quick and at low-cost given that such right is cardinal to and for effective functioning of access to information policies. These policies will need to amply state in lucid the way and manner in which the requests for information shall be processed. The process needs to be simple, quick and at low-cost. Importantly, the requisite Information should be provided for in the vernacular (but such is the best-case scenario). Assistance should be provided to those who have difficulty in filing their requests in as much as feedback to a request should be provided for as soon as possible and clear maximum time limits for responding should be imposed. Where costs are charged for accessing information, these should be based on a clear and reasonable cost structure, and should not be so high as to deter stakeholders or exceed the actual cost of production.

Principle 5 which entails limited exceptions pin points that the regime of exceptions should be based on the principle that access to information may be refused ONLY where the institution can demonstrate that the disclosure would cause serious harm to one of a set of clearly and narrowly defined, and broadly accepted, interests, which, as matter of policy, are specifically enumerated and that the harm to this interest outweighs the public interest. This verily demonstrates the caveat or proviso that the right to information is neither as automatic nor ad nauseous.

There are the legitimate and justified grounds for confidentiality, such as personal information or where disclosure would genuinely harm the prevention or prosecution of a crime or constitute an action which may be or is sub-Judie. Exceptions should be based on the fact that disclosure would cause harm and NOT on who produced or provided for the information. Where third parties are involved, they should have the right to make representations as to why a particular piece of information falls within the scope of an exception. The policy should NOT allow for a third party veto or recognize an originator control principle.

Principle 6 which deals with, recognizes and provides for appeals where any stakeholder who believes that his or her request for access to information has not been granted or respected has the right to have the matter reviewed by an independent and authoritative body is key where as Principle 7 deals with “Whistleblower” Protection. Let me quickly define what I mean by whistle blower as an individual or plurality who in good faith disclose(s) information revealing a concern about wrongdoing, corruption or other malpractices, should expressly be protected from any sanction, reprisal, or professional or personal detriment, contingent to having made that justifiable disclosure.

Such constitutes an important timely (early-warning system) action for the institution and financial institutions should protect them, including by making it a disciplinary offence to victimize a whistleblower. The penultimate one is Principle 8 which deals with the need for the promotion of access of information in which public financial institutions need to budget for adequate resources, including time and energy to ensure effective implementation of their access to information policies, and to building a culture of openness. It is important that the measures to be taken are themselves developed in a transparent and participatory manner.

The range of possible measures may be extensive but some measures which have proven effective include the following (1) senior management making statements and taking other actions that make it clear that access to information is an organizational priority (2) providing for targeted training on access to information and building access to information elements into their training activities. incorporating access to information into corporate incentive structures and appraisal systems.

Access to information policies should be subject to regular review to take into account changes in the nature of information held, and to implement best practice disclosure rules and approaches. Particular attention MUST be paid during such reviews to possible improvements in automatic disclosure practices. Last but by no means the least is Principle 9 entails a regular review of policies and documentation which should be conducted in a transparent and consultative manner e.g. using multi-stakeholder consultation processes to ensure broad feedback from a range of interested stakeholders, particularly among project affected communities.

Conclusions.

The case for transparency in public financial institutions is has been made and is primarily anchored on two key premises (1) The effectiveness of the financial and right to information policies can only be strengthened if the activities and instruments of such are known to the public and if the authorities can make a commitment to meeting them and (2) good governance calls for financial institutions to be accountable, particularly where senior management is granted a high degree of autonomy with the very fundamental caveat that not all information can be divulged to the  public.

The author is a freelance opinion writer and professional experience teacher based in Warrap State- Kuajok. He can be reached by email: morrisawikjok@yahoo.com


‘Economist’ top growers’ list for 2014 springs surprises, South Sudan GDP forecast to grow fastest


By  James Alic Garang

For the starters, Central Bank of South Sudan issued a circular entitled “Exchange Rate Reforms” on 11 November 2013 to devalue its currency from about 3.16SSP/$1 to 4.5SSP/$1 with goal of unifying the official and black market exchange rates, thereby achieving its immediate target of lowering “short-term exchange rate volatility” and clamping down on “rent-seeking behavior” as well as stimulating the economy. This policy proved unsuccessful, and provoked public outcry over fuel shortage and price hikes of other consumer goods. This train of events compelled the National Legislative Assembly to intervene and order the reversal of the devaluation. The CBSS leadership has diffidently obliged.

First, was unification of the official and parallel market overdue and a worthy goal? The answer is absolutely affirmative.

Second, economics theory is nicer to any currency devaluation save its unintended consequences in an open economy setting. Currency devaluation of domestic currency is theorized to improve the balance of payments as well as boosting economic activity. Devaluation is likened to increase in money supply which makes local currency cheaper relative to foreign currency. It is hypothesized to disfavor imports and positively impact exports. This chain of monetary reactions is posited to bring about positive net exports which bear positively on the gross domestic product.

Third, price stability is one of the goals of the central bank. So, if the central bank’s independence  over management of the monetary policy and achieving price stability is not in question and the theory predicts that currency devaluation is a good thing for the economy in the long run, then what is all this fuss about, especially the public outcry shattering the airwaves and the “corridors of powers” in Juba?

I would argue that the public outcry is justified and that the CBSS has erred in its approach to carrying out currency devaluation.

I.                   Approach to Devaluation: Shock Therapy Vs Gradualism?

While everyone would agree with the goal of unifying the two rates, the application of the “shock therapy” overnight was ill-advised because rapid devaluation can produce economic shocks. What CBSS did in essence was to decrease the original currency value by 150% from 3SSP/$ to 4.5SSP/$1.  This is a huge change bearing in mind that South Sudan is, generally speaking, an importing economy. Second, it was unwise to “blindly follow” the black market rates. If the black market rate is 4.5SSP/$1 today, what would prevent it from reaching 10SSP/$1 the day after or next week? Have they thought about the consequences of the disequilibrium in the currency markets and how that may lead to price instability, something they were trying to avoid in the first place? Quite frankly, such abrupt devaluation was destined to choke off the import market since it will now be prohibitive to import from East Africa. One does not have to be a rocket scientist to figure out that such devaluation is going to be painful to many people; inevitably they will rise up in arms. They surely did!

If history is anything to go by, CBSS should have approached this by taking a leaf from other countries. While some people see the case of Poland as vindication of “shock therapy”, good and reasonable people also believe that sudden currency devaluation can have catastrophic effects. It was what largely got Mexico into currency crisis in 1994.

Therefore, the CBSS should know or should have known that large and sudden devaluation would negatively reverberate in the economy and as thus, they should have devalued the currency gradually by few percentage points, one at a time.

II.                Nonexistence of Export Sector in South Sudan

CBSS was bold in believing that devaluation would improve the balance of payments manifolds and stimulate the economy but they failed to account for the fact that South Sudan has no export sector. That South Sudan has no export sector to compensate for the loss in imports should have given the CBSS pause before abruptly devaluing the currency. The gradualist approach would have not backfired as the “big bang” approach just did.

III.             Lack of Clarity in Communicating Monetary Policy to the Public

So while unifying the two exchange rates was necessary, the manner in which it was done was ill-considered. Gradualism as opposed to shock therapy would have taken South Sudan a more prudent path toward the unity of the two markets. Secondly, CBSS fumbled the message and failed to communicate clearly to the oversight body and the public. Sadly, with the reversal, CBSS is more bruised than before or its credibility has been dented, dare I say? This lack of clarity is a bad PR and it does not augur well with the tenets of central independence in matters of monetary policy.

IV.             Existence of Questionable Currency Exchange Bureaus

Finally, this policy prescription was not going to work. In fact, it was destined to die on arrival because of the “currency quota” factor. As long as CBSS continues to allocate dollars to foreign exchange bureaus whose aim is to flood the black market with those dollars, this “devaluation” was an exercise in futility. A story is in order. Some months after the independence, those who were trading in dollars on the street were asked to register or get arrested. But like everything else in south Sudan, this policy was never enforced. The black market is proving lucrative to some people in power and who concoct up stories to get dollars at the official rate only to turn around and sell them at black market rates.

What is to be done?

Generally speaking, it is good to recognize that monetary policy does operate in an environment where politics, economics and other factors interact to impose certain constraints on economic actors. A prudent policy maker must try to anticipate some of these countervailing factors.

Second, in least developed countries where the economic fundamentals are usually weak, including high inflation rate such as the case in South Sudan; where there is a fixed exchange regime with local currency artificially pegged to US dollars; and where citizens lack confidence in the national currency due to exchange rate volatility,currency black markets are a typical regularity. They form part of what is referred to as “underground economy” because the latter falls outside the purview of regulatory agencies such as central banks.

Therefore, knowing that black markets do exist in countries such as South Sudan, it would have been prudent for the central bank to come up with practical monetary policy that aims to instill confidence in the local currency as well as making sure that spot trading in foreign currencies is brought under control. It is an eyesore to see just anyone on the street at Customs market or Jubek Memorial market carrying dollars, pounds or both waiting to dump them whenever they hear the wind of dollars falling.

What Should CBSS Do Fast Forward?

The CBSS should not call it quits but continue to innovate and work harder to unify the two exchange rates through:

i.        clearly communicating the monetary policy stance to the public as much as possible

ii.      working with Parliament to clampdown on the illegal currency trading, enforce commonsense market-enhancing regulations, undertake credible reforms within the CBSS and finally,

iii.    learning one or two lessons about currency management from other developing countries, including East Africa.

In summary, the CBSS was justified in endeavoring to unify the official and parallel market rates. However, the application of shock therapy without thinking about how the consequences of devaluation would play out, and failing to clearly communicate the policy intervention to the public have, in my view, bruised the credibility of the CBSS. It remains to be seen whether CBSS has learned from this experience. Else it would have been the story of yet another crisis gone to waste.


South Sudan nears fuel independence with launch of two oil refineriesHydrocarbon Processing

South Sudan’s first refinery, which will process 5,000 bpd, will begin operating by Dec. 31 and a second one will start by the end of 2014, bringing total 
See all stories on this topic »
Draft Media Laws Must Ensure Independence From Political InfluenceAllAfrica.com

The legislative package includes the South Sudan Public Broadcasting  of independent newsmedia in the country, which became independent more than two 
See all stories on this topic »

 East Africa’s ambitious plan to boost its oil supply infrastructure enters a critical phase this week as Kenya and Uganda float a design tender, while South Sudan decides whether to build a pipeline through Kenya or Djibouti. On Monday, the presidents of Kenya, Uganda and Rwanda — meeting under the auspices of the 3rd Infrastructure Summit in Kigali — are expected to receive a progress report on the planned crude oil pipeline under the Lamu Port South Sudan Ethiopia Transport (Lapsset) corridor project. However, it is unclear whether South Sudan will be part of the pipeline at the initial stage. On August 28, in their second summit in Mombasa, the three presidents had directed government officials to ensure that the South Sudan-Lokichar-Hoima crude oil pipeline is integrated into the Lapsset corridor project by December 31. At the Mombasa meeting, South Sudan’s Minister for Foreign Affairs and International Co-operation Barnaba Marial Benjamin represented President Salva Kiir. The EastAfrican has learnt that a $3 million feasibility study commissioned by South Sudan, on both routes — to Lamu and Djibouti ports — done by the German-based engineering firm ILF and the UK-based legal firm IDP, has found both technically viable, but the government is due to consider the cost, terrain of each route and geopolitics of the region.


Kigali became the first city in East Africa to launch free wireless Internet in specific areas of the capital last week under the “Smart Kigali” initiative, joining the ranks of “digital cities” such as Toronto, Houston, Buenos Aires, Bangkok and Taipei. This puts Rwanda ahead of the pack in the digital race in East Africa, giving it an edge over Kenya’s much-hyped Konza City, which is yet to take off despite a colourful launch early this year.


South Sudan: Searching for a Credible Development Path

South Sudan’s independence from the Republic of Sudan on July 9, 2011 was met with joy, trepidation and many challenges. Despite the fact that South Sudan is endowed with significant amounts of natural resources, the country faces many obstacles. These include a population suffering from significantly high levels of poverty and deprivation; extremely low levels of human capital accumulation; food insecurity; poorly developed economic infrastructure; pervasive bureaucratic corruption; a failure to deal with various internal security problems, some of which arise from violent mobilization by groups that consider themselves marginalized by the government in Juba; and continued conflict with the Republic of Sudan, especially on border issues. Although today, February 4, marks the stated completion date of the withdrawal of South Sudanese forces along its border with Sudan, South Sudan has failed to remove its troops.

South Sudan at 2: Seeking to Build a Strong and United Nation

Celebrating a birthday while facing many challenges: On July 9, 2013, the citizens of South Sudan, which gained independence on July 9, 2011, will celebrate that phenomenal achievement. But, as they take time out to rejoice and honor and celebrate those who fought for the freedom they now enjoy, they must also recognize that building a nation requires a lot of work and sacrifice.  The nation that they seek to build has significant endowments of natural resources, which provide citizens and the government with a solid foundation for nation building. Nevertheless, South Sudan faces many challenges. These challenges include effectively managing ethnic and religious diversity and providing the wherewithal for peaceful coexistence; achieving food security; confronting mass poverty and providing jobs, especially for restless urban youth; bringing several violent non-state actors, including rebel militia that currently threaten the peace, under the control of the government; resolving the country’s various conflicts with Khartoum, including those associated with the border and the use of the Republic of Sudan pipelines to transport South Sudan oil to export markets; and dealing effectively and fully with various governance issues, especially bureaucratic corruption and public financial malfeasance. 

Scholarship: Stanford Africa Fellowship

Posted: September 26, 2013 by PaanLuel Wël in Africa, Business, Business, Economy, Education

Africa is at the forefront of significant global economic growth and opportunity. Stanford GSB is excited to contribute to the region’s human and economic development by educating leaders committed to making an impact on the continent.

The Stanford Africa MBA Fellowship Program pays for tuition and associated fees (approximately US $140,000) for citizens of African countries with financial need who wish to obtain an MBA at Stanford GSB. The fellowship was created to reduce the financial barrier for African citizens wishing to pursue an MBA at Stanford GSB. Up to eight fellowships will be awarded annually.

Within two years of graduation from Stanford GSB, Stanford Africa MBA Fellows are required to return to Africa to work for at least two years in a professional role that contributes to the continent’s development.

This pilot program was launched in 2013, and is expected to run for three to five years.

Learn more about the application requirements, including the application process and eligibility, as well as frequently asked questions.


More Oil Fields in South Sudan Come Back On Stream

Voice of America – ‎

BENTIU, SOUTH SUDAN — Two oil fields in South Sudan’s Unity state came back on stream Thursday, 21 months after they were shut down amid a row with Khartoum over pipeline fees. South Sudan’s Petroleum Minister Stephen Dhieu Dau said the 
Zawya (registration) – ‎
JUBA, Sept 12 (Reuters) – South Sudan resumed pumping at the small El Tor oilfield, bringing production of waxy light crude in its Unity State to 30,000 barrels per day (bpd), its oil minister said on Thursday. The landlocked African country has been 
AllAfrica.com – ‎
Foreign Minister Nabil Fahmi received on Wednesday 11/9/2013 ambassador of South Sudan in Cairo Anthony Louis for talks on the current developments in Egypt. During the meeting, Louis handed over the minister a message from the Sudanese foreign 
Sudan Tribune –
September 12, 2013 (JUBA) – South Sudanese president Salva Kiir Mayardit has urged the citizens of the contested region of Abyei to return home in preparation for a referendum vote, despite Khartoum’s rejection of the African Union-backed proposal.
Sudan Tribune – ‎
September 12, 2013 (BENTIU) – South Sudan’s petroleum and mining minister, Stephen Dhieu Dau, has reopened an oil field in Unity state’s Eltoor and Toma South area after its shutdown in January 2012. Officials say the reopening of the oil field in the area 
Sudan Tribune – ‎
September 12, 2013 (AGOK) – South Sudan’s president Salva Kiir announced on Thursday that his government has set aside seven million South Sudanese Pounds to help over 223,000 people who have been affected by recent flooding. JPEG – 38.9 kb 
Sudan Tribune – ‎
September 11, 2013 (KHARTOUM) – The Sudan People’s Liberation Movement North (SPLM-N) said the Sudanese government sought recently to contact them through three countries, but reiterated the demand of his group for a comprehensive process to 
Upstream Online – ‎‎
South Sudan resumed pumping at the small El Tor oilfield, bringing production of waxy light crude in its Unity state to 30,000 barrels per day, according to a report. The landlocked African country has been increasing oil production since reaching a deal with 
Sudan Tribune – ‎
Khartoum — The Sudan People’s Liberation Movement North (SPLM-N) said the Sudanese government sought recently to contact them through three countries, but reiterated the demand of his group for a comprehensive process to end the ongoing conflict in 
Sudan Tribune – ‎‎
Kampala — Ugandan legislators on Tuesday called for the expulsion of South Sudanese nationals in Uganda in retaliation for what they say is the harassment and in some cases murder of Ugandan nationals in South Sudan. However, the Ugandan 
Sudan Tribune – ‎‎
The nationwide address is expected to focus on socio-economic and political developments in the country as well as efforts which his administration is exerting to resolve post-secession disputes with the government of neighbouring Sudan from which the 
Sudan Tribune –
Gulu — Several Ugandan passengers remain in hospital in Nimule after a fatal car accident in Monday night left two dead and 15 injured. Ugandan police spokesman Jimmy Okema said the accident, which occurred about three kilometres before Nimule town 
Sudan Tribune – ‎‎
Juba — A senior official of South Sudan’s government has hinted that the 2015’s country-wide elections may not take place if the exercise will be based on the constitutional requirement for a population census as a prerequisite. Isaiah Chol Aruai, chairman of 
Sudan Tribune – ‎‎
Khartoum — The Sudanese finance minister, Ali Mahmoud Abdel-Rasool, has said that Sudan’s economy will gradually restore its positive standing and recalled the country’s resilience over the last decade saying that between 2003-2010 the Gross Domestic 
Sudan Tribune – ‎
Khartoum — The Sudanese investment minister Mustafa Osman Ismail has pledged to resolve all problems facing Chinese investments in the country particularly regarding the repatriation of profits abroad. Foreign investment companies operating in Sudan 
AllAfrica.com – ‎
Khartoum — International rights groups have called on the UN Human Rights Council (UNHRC) to strengthen the mandate of the independent expert on the human rights situation in Sudan to monitor and report publicly on serious violations.
AllAfrica.com – ‎‎
In traditional conflict resolution approach, also known as conflict management or track I diplomacy, there are three technical phases or frameworks that peace scholars, practitioners and negotiators have largely identified as dictating the path of building peace 
AllAfrica.com – ‎
Logically, socially, politically and even economically in the Republic of South Sudan, there is no transparency, integrity, and proper accountability in all government Institutions. Why is it that we lack those relevant issues in our system and we call ourselves 
AllAfrica.com – ‎‎
Juba — The South African Embassy in South Sudan has awarded sponsorship to two South Sudanese orphans admitted to the Sudanese university of Khartoum. Robert Alberto and Emmanuel Ladu were admitted to the colleges of aviation and accounting in 
AllAfrica.com – ‎
Juba — South Sudan has launched an 18-member committee for prevention and punishment of crimes against humanity, genocide and all other forms of human discrimination. The committee was inaugurated yesterday before dignitaries from United Nations 
Global Times – ‎
Uganda’s football governing body, Federation of Uganda Football Associations (FUFA) has named the women’s U-20 team which leaves on Thursday, ahead of a 2014 preliminary round World Cup qualifier against South Sudan. Rogers Mulindwa, the FA’s 
Sudan People’s Liberation Movement-North (SPLM-N) has called for peaceful protests to topple Sudanese president Omar Al-Bashir. Tweet. World Bulletin/News Desk. In response to new austerity measures announced by the Khartoum government, the 

China earmarks $43m for S. Sudan’s mining sector


Oil dependence is South Sudan’s boon – and bane

By PaanLuel Wël

Read more: http://www.thenational.ae/business/industry-insights/economics/oil-dependence-is-south-sudans-boon-and-bane#ixzz2eV02XrOX
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Oil dependence is South Sudan’s boon – and bane

PaanLuel Wël

September 10, 2013

With a long track record of broken promises and dishonoured agreements, many South Sudanese are very sceptical about the durability of the recent oil agreement between South Sudan and Sudan.

Yet, because of the indispensability ofoil to the economies of the two countries, particularly South Sudan, most people in the country welcomed the announcement to reverse the threatened closure by Khartoum of a pipeline South Sundan relies on to export its oil via Port Sudan.

South Sudan now plans to increase crude output by 20 per cent to 200,000 barrels a day after reaching the agreement, the foreign affairs spokesman Mawien Makol Arik said last week.

“It’s good news for South Sudan,” Mr Arik said in the South Sudan capital, Juba. “The production of oil is going to go up to 200,000 barrels a day” from a current estimated output of 167,000 barrels, Bloomberg News reported.

The news came after a summit last week in Khartoum between South Sudan’s president Salva Kiir Mayardit and Sudan’s president Omar Al Bashir. Mr Al Bashir had accused South Sudan of backing rebels in his country fighting to overthrow him and had threatened to shut down the vital oil link by last Friday.

For South Sudan, where oil revenues amount to 98 per cent of the national budget and practically all its foreign hard currency, production disruptions have hammered the economy already.

GDP has shrunk from US$19.17 billion in 2011 to $9.33bn last year, according to the World Bank, and the summit was a last chance to avert complete economic disaster.

“It was the last opportunity for us to strike a workable deal with the government of the Sudan,” says Dual Chuol, a researcher at the central bank of South Sudan.

“We were prepared for the worst, though we know the accusation that we support the rebellion in the Sudan is nonsense.”

Barely two years old, the country’s economy is characterised by two sectors. The first is the informal sector, which comprises the majority of the approximately 10.8 million South Sudanese people, most of whom live in rural areas. It is dominated by traditional subsistence agriculture and livestock farming.

The formal sector, which comprises the government and international aid organisations, is dominated and financed by oil revenues plus donations from the aid groups.

The main economic challenge facing South Sudan is to use oil money to jump-start socioeconomic development and achieve political stability. But with more than half of the population living below the poverty line and more than 80 per cent still illiterate, it suffers from acute shortages of human and technological capacity with which it can fuel such development. It is a dire situation.

“It is hard to imagine South Sudan surviving economically for the next one year or so without oil revenue,” admits David Lohure, an official working at South Sudan national bureau of statistics in Juba.

As a former war-torn nation, South Sudan needs to build economic infrastructure from scratch. The introduction of an austerity budget following Juba’s 14-month shutdown of the oil sector from January last year amid claims of Sudan stealing oil transiting the country to Port Sudan has hurt prospects of that.

Since the industry restarted in April, Juba has sold about 9.1 million barrels of oil for US$969 million until the start of September, the oil ministry said last week. It had to pay $91m in fees for using pipelines crossing Sudan and for the use of Port Sudan port.

An extra $147m was paid as part of a package to compensate Sudan for the loss of most its oil reserves with secession. Juba needs to make this monthly payments to Sudan for more than two years yet.

To try to insulate itself from future potential economic peril, South Sudan wants to draw up an in-depth development plan for the creaking oil sector.

John Muor, from the newly restructured ministry of finance, concurs that, “there is a need to launch an oil reserves evaluation study to give us a very detailed understanding of the oil sector. We must know our oil potentials and what barriers there are to its exploitation and how we deal with them.”

But undertaking such a detailed analysis of the oil sector’s potential would require a huge investment in exploration and development of oilfields and South Sudan has neither the money nor the technological knowhow to do it. Thus, it has been wooing overseas oil investors to help finance a study.

However, the foreign oil companies that today dominate the country’s oil sector – the China National Petroleum Company (CNPC), Malaysia’s state oil firm Petronas and India’s national oil company ONGC Videsh – have not invested heavily.

“This is because South Sudan is facing dwindling oil reserves,” says Arnold Juma, a South Sudanese who works for Petronas.

“And with the uncertainty over the export pipeline [to Port Sudan] persisting and insecurity mounting in most parts of the country, there is no guarantee that these foreign oil investors would get good return.”

The history of oil and the conflict that it has fuelled, however, has always been connected to international oil companies. It was the US giant Chevron’s 1978 discovery of oil in the Sudan, and the controversy that generated, which triggered Sudan’s second civil war, its longest and deadliest, between Khartoum and southern nationalists.

“Foreign oil companies have been variously accused of committing atrocities – clearing oilfields areas of the local populations and facilitating the passage of Khartoum’s army through their feeder roads and vehicles – against the people of South Sudan,” claims Akuch Chol, an official at Nilepet, the only South Sudan state oil firm operating alongside foreign players.

Since independence, however, there has been a marriage of convenience between the foreign oil companies that had previously aligned themselves with Khartoum against the SPLM/A that now runs South Sudan and the rebel leaders of the SPLM/A bent on fighting foreign oil companies for aiding Khartoum. Overseas firms now produce and market South Sudan’s oil and take profits from the crude sold.

Despite last week’s accord, Khartoum could still issue threats to block the passage of South Sudan’s oil to Port Sudan.

As a consequence, many South Sudanese are pressing for the construction of an alternative oil pipeline to either Kenya or Djibouti.

The government of South Sudan has opened bids for the building of oil pipelines to transport the country’s crude oil exports, according to a report last month on the website of radiomariya.org, based in Juba.

The undersecretary in the ministry of finance, Wani Buyu, was quoted as saying priority would be given to companies bidding to construct pipelines to Djibouti, although lines to Lamu Port in Kenya would also be considered.

“The economy of South Sudan depends entirely on oil. We have been exporting the oil through Sudan’s pipelines, but as a landlocked country we want to have several alternatives,” he said.

“So we were thinking of having some other pipelines through our neighbouring countries, we planned to have one to Kenya through Lamu, and then we were also thinking of having another pipeline through Djibouti.”

Of course, such a plan requires raising a huge amount of money. Until that happens, if it ever does, Juba and Khartoum’s relationship remains crucial.

“Like co-joined twins, the two nations will either flourish together or wither away together,” says Bullen Chol, an official in the ministry of petroleum and mining in Juba.

“They might have separated politically but it is still a confederacy in term of their economies.”

PaanLuel Wël is the managing editor of PaanLuel Wël: South Sudanese Bloggers

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Desperate hope South Sudan’s dream does not become a nightmare

By PaanLuel Wël

Read more: http://www.thenational.ae/business/economy/desperate-hope-south-sudans-dream-does-not-become-a-nightmare#ixzz2eUzJ5848
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Desperate hope South Sudan’s dream does not become a nightmare

PaanLuel Wël

September 10, 2013

Has South Sudan already squandered the economic fortune it inherited from Khartoum – or can it revitalise its embattled oil sector?

Listening to South Sudanese, there is a strong sense of urgency that the government should adopt innovative measures to make South Sudan’s oil potential wealth work in the best interests of its citizens – fulfilling the Sudan People’s Liberation Movement and Army (SPLM/A) party’s promise made at South Sudan’s independence.

In April 2004, just a few months before the signing of the peace agreement between the Sudan government and the rebel SPLM/A that now runs South Sudan, the late SPLM leader, John Garang, laid down his vision for the new country in a booklet entitled The SPLM Strategic Framework For War-To-Peace Transition.

The document looked to an economic framework for prioritising agriculture as the engine of economic growth and poverty eradication. It was an ambitious idea.

“Our economic plan and development vision for an independent Southern Sudan was to use the oil revenues to fuel agriculture,” says Peter Chol, a former rebel fighter and currently an official at the ministry of finance and economic planning in Juba, South Sudan.

“Our slogan for socioeconomic and political development was to take the towns to people in the countryside rather than people to towns,” he adds.

“There was tremendous hope and great expectations among our people for independence, because they literally expected paradise on earth upon secession.”

Indeed, such sentiment is not hard to understand given that an independent South Sudan was expected to take about three-quarters of Sudan’s oil output. When independence came on July 9, 2011, there was a great fanfare and pride in the belief the hard-won political freedom would soon translate into tangible material benefits from South Sudan’s potentially vast amount of oil wealth.

An independent South Sudan was projected to produce about 350,000 barrels a day, enough to meet people’s expectations for peace and security via economic development.

Yet, two years on, those hopes have been dashed as its relationship with its northern neighbour has soured.

“We have been having serious disagreements with Khartoum over oil and the use of the export pipeline [to Port Sudan] and so we halted oil production temporarily,” Obwach William, a senior official at the South Sudan’s Nile Petroleum Corporation, the commercial arm of the ministry of petroleum and mining, said when Juba shut down production in January last year.

“They were stealing our oil and we had to take the necessary step, notwithstanding the centrality of oil revenues to our national budget and economic viability.”

The two sides are still in dispute over issues including rights to the oil-rich Abyei region straddling the border between the countries. Sudanese troops have been ambushed and killed there by local rebels and the area remains volatile.

Depressing as the economic situation might appear, many South Sudanese still believe their fledgling nation could yet turn its oil assets of about 7 billion barrels in proven reserves into positive economic change, particularly for the poorest. A number of informed economic policies, formulated in liaison with foreign oil companies and the Addis Ababa-based African Union (AU), could help South Sudan to reverse its fortunes and offer a better future for its stressed people.

But it will not be easy.

South Sudan faces the stark reality of declining oil production by 2015, a very limited time to allow the diversification of the economy. Creating a secure and healthy environment for foreign oil companies would increase the chances of them investing to develop the oil sector more as well as finance alternative export routes, perhaps via Kenya.

“Foreign investment in the oil sector can assist us to finance not only an alternative oil pipeline but also oil exploration and field development in the vast unexplored areas of our country where there is great potential to discover commercially viable amounts of oil,” says Gatluak Dhol, a director general at the ministry of commerce in Juba.

For foreign oil companies to invest in the country, though, the government must do more to ensure security and curb economic malpractice. Joining the Extractive Industries Transparency Initiative, an international body formed in 2002 that the US joined this year and which promotes transparency in resource-rich countries, was a commendable step. Juba is aware of its responsibility.

On Friday, following the agreement of Khartoum not to close the pipeline to Port Sudan, South Sudan’s oil minister Stephen Dhieu Dau said the government had an obligation under the Petroleum Act to make public information on oil production and sales. “I take this opportunity to express my optimism that the renewed spirit of cooperation between the South Sudan and Sudan will continue to guarantee the undisrupted flow of South Sudan crude oil to the international markets for the mutual benefit of both countries”, he was quoted as saying in the Sudan Tribune.

Many feel for South Sudan to survive and thrive, the governments of both countries must lead the way.

“There is no good chance of economic revival without political resolution,” says Justin Kenyi, a South Sudanese businessman who owns a construction company.

After two decades of civil war and two years of independence mired in economic meltdown, the government of South Sudan owes its people a debt that cannot be repaid until there is a substantial improvement in their everyday lives.

Otherwise, Mr Garang’s slogan of “using oil revenues to fuel agricultural growth” and of “taking town to the people in the countryside” will haunt the nation for years to come.

PaanLuel Wël is the managing editor of PaanLuel Wël: South Sudanese Bloggers

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Enjoy this assortment of articles by Mading Ngor of Bloomberg as you make sense of the today’s summit between President Kiir and Al-Bashir in Khartoum. The repercussions of the resolution of the planned meeting will be far-reaching as much as they will be disconcerting on the two brooding nations.

South Sudan to Maintain Oil Production as Sudan  – Bloomberg

  1. www.bloomberg.com/…/south-sudan-to-maintain-oil-production-as-suda…

    Jul 31, 2013 – To contact the reporter on this story: Mading Ngor in Juba at mngor@bloomberg.net. To contact the editor responsible for this story: Paul 

    South Sudan Considers Borrowing as It Prepares ‘for  – Bloomberg

  2. www.bloomberg.com/…/south-sudan-considers-borrowing-as-it-prepares…

    Aug 6, 2013 – To contact the reporter on this story: Mading Ngor in Juba at mngor@bloomberg.net. To contact the editor responsible for this story: Nasreen 

    South Sudan Cuts Back Oil Output, Braces for Shutdown – Bloomberg

  3. www.bloomberg.com/…/south-sudan-cuts-back-oil-output-braces-for-sh…

    Jul 25, 2013 – To contact the reporters on this story: Maher Chmaytelli in Dubai at mchmaytelli@bloomberg.net; Mading Ngor in Juba at mngor@bloomberg.

    South Sudan to Form National Revenue Authority  – Bloomberg

  4. www.bloomberg.com/…/south-sudan-to-form-national-revenue-authorit…

    Jul 23, 2013 – To contact the reporter on this story: Mading Ngor in Juba at mngor@bloomberg.net. To contact the editor responsible for this story: Paul 

    Sudan Threatens to Shut South Sudan Oil Over Rebel Support

  5. news.timeleveragecapital.com › Energies › Crude Oil

    Jun 10, 2013 –  Written by Bloomberg By Michael Gunn and Mading Ngor – Jun 10, at pmrichardson@bloomberg.netThis email address is being protected 

    South Sudan Quadruples Revenue Collection Amid Austerity 

  6. Apr 30, 2013 – To contact the reporter on this story: Mading Ngor in Calgary via Nairobi at pmrichardson@bloomberg.net. To contact the editor responsible for 

    Sudan Postpones South Sudan Oil-Pipeline Shutdown for Two 

  7. Jul 26, 2013 – To contact the reporters on this story: Michael Gunn in Cairo at mgunn14@bloomberg.net; Mading Ngor in Juba at mngor@bloomberg.net.

    Kenya, South Sudan Presidents to Focus on Joint Highway Project 

  8. Already a Bloomberg.com user?  By Mading Ngor May 23, 2013  the reporter on this story: Jeran Wittenstein in San Francisco at jwittenstei1@bloomberg.net.

The Next Mark Zuckerberg

Posted: June 26, 2013 by PaanLuel Wël in Business, Business, Economy, Education

You know Facebook founder Mark Zuckerberg and Twitter co-founder Jack Dorsey, but there’s a changing guard of entrepreneurs focused on big ideas and the next big thing. Here’s a batch to look out for.

http://finance.yahoo.com/news/the-next-mark-zuckerberg-193706170.html?page=all

(more…)


South Sudan warns that it may shut down oil exports through Sudan again
Washington Post
While speaking at a police graduation ceremony in Juba on Monday, South Sudan President Salva Kiir warned there could be oil shutdown like the one that ended nearly two months ago. He said Juba was still working with Sudan “in a diplomatic way.” 

South Sudanese bishop heading to St Neots
Cambridge News
St Neots Deanery is preparing to host Bishop Samuel Peni, bishop of the Diocese of Nzara in the Episcopal Church of the Sudan, who will be speaking at an evening of prayer at Little Paxton Church on June 4. South Sudan became the world’s newest nation 
FEATURE-Sudan dreams of becoming global sugar player
Reuters
Sudan hopes to offset loss of oil to South Sudan. * Sugar firm Kenana plans expansion, double output by 2015. * Analysts sceptical about production expansion plans. By Ulf Laessing. NEAR SOFIYA, Sudan, May 22 (Reuters) – In a hangar-shaped factory hall 
South Sudan Launches Nationwide Search For Rhinos
Oye! Times
“Whether male or female, South Sudan Wildlife would apply through the international body for protection of endangered animal species to provide a partner from another country so as to breed the animals in the country for purpose of restocking,” he said.

Chicago Tribune
Faced with the loss of most oil production after South Sudan seceded in 2011, Sudan has been scrambling to find new sources for state revenues and dollars to pay for imports. Developing its sugar industry is a priority as is searching for gold. “There 

The spring’s back in his step
The Hindu
The biggest upheaval in William Deng Kau’s life happened two weeks before schedule. As internal affairs minister in Sudan, and a South Sudanese himself, Mr. Kau was counting the days to the independence of South Sudan. And then, just two weeks before 

Fox News
JUBA, South Sudan – South Sudan is warning that it may stop exporting oil through Sudan’s pipelines again. An official in South Sudan’s oil ministry told The Associated Press that Sudan has blocked the export of South Sudanese oil. The official 

Khartoum Denies Blocking South Sudan Oil Flow
AllAfrica.com
Khartoum — The Sudanese oil minister Awad Al-Jaz on Tuesday denied reports that his government hampered the exportation of South Sudan crude through the Heglig pipeline, stressing it functions normally. In statements to the official news agency, SUNA, 
Press must be able to work freely in South Sudan
CPJ Press Freedom Online
We are writing to express our deep concern about the deteriorating state of press freedom in your country. In the past six months, CPJ has documented several cases of attacks, intimidation, and detention of journalists by security agents in South Sudan 

Sudan minister gets new hip in Chennai
Times of India
“I wanted to hear the celebration and breathe in the air of hope of thousands of people who lost their kin in the conflict, but the television in my hospital room was the only window to my country,” said Kau, who is now the internal affairs minister of 
Sudanese leaders to hold talks in Addis Ababa
Africa Review
South Sudan President Salva Kiir and his Sudan counterpart Omar al-Bashir, are scheduled to hold a summit in Addis Ababa on Friday on the Abyei impasse and accusations of rebel support, officials said on Tuesday. The announcement followed a visit of 
AfDB Supports Tripartite Committee Efforts
Sudan Vision
Khartoum- African Development Bank (AfDB) confirmed interest to support the efforts of the Tripartite Committee between Sudan, South Sudan, and the African Union, for the treatment of external debt in the framework of the zero option agreed upon in the 
Mbeki – Continent Can Solve Its Problems
AllAfrica.com
Mbeki, who stated this shortly after receiving the Daily Trust African of the Year 2012 Award at the Transcorp Hilton Hotel in Abuja last night, said the success which the panel he led to resolve the conflict between Sudan and South Sudan remains a 
Ex-South Sudan Rebels Claim Khartoum Arrested Its Members, Confiscated 
AllAfrica.com
Kampala — A South Sudanese rebel group, which recently signed a peace deal with the Juba government, claims the government of Sudan arrested some of its members and confiscated personal belongings, including cars and houses in the capital, 
UPDATE 2-South Sudan cuts oil output, sees new problems with Sudan
Reuters Africa
JUBA/KHARTOUM May 21 (Reuters) – South Sudan has almost halved its oil production as it faces new “problems” exporting crude to Sudan, it said on Tuesday, suspecting its long-time rival had closed a cross-border pipeline, a move that would be a sign of 
South Sudan initiative aims to keep young girls in primary school
EducationGuardian.co.uk
It’s a familiar routine for girls in South Sudan, but Nagomoro was a trailblazer. She was the first girl from Ibba county – a community of 90,000 people – in landlocked Western Equatoria state to finish primary school. Being the only girl at her school 
UAE investors seek to invest in South Sudan
Sudan Tribune
The investors said they were responding to the visits to their country by the South Sudan’s vice-president, Riek Machar, in which he assured investors in the rich Arab nation of huge potentials as well as the attractive investments laws in the 22-month 
A C-Turn and SPLM Is Full Swing Into Regionalism
AllAfrica.com
opinion. Regionalism has made it back into the South Sudanese politics, thanks to the leadership of the ruling SPLM that sees these as a way to grainer regional loyalties before the 2015 general elections. So far three regional conferences have already 
“Report Fairly On Africa”, Ssali Urges Foreign Journalists
AllAfrica.com
South Sudan: “Report Fairly On Africa”, Ssali Urges Foreign Journalists. By Martin Jada (news Agency of South Sudan)., 21 May 2013. press release. Dr. Shaka Ssali, a famous host of Voice of America’s “Straight Talk Africa” has urged foreign journalists 
SA sold weapons during Sudanese conflict
Independent Online
The report of the National Conventional Arms Control Committee (NCACC) to Parliament records that the committee approved sales of R25.5 million to the UN operation in Sudan, sales of R25.5m to Sudan and sales of R6.9m to South Sudanbetween 
Lakes – More Arrests in Rumbek Over Beer Ban
AllAfrica.com
Juba — South Sudanese police and national security personnel continued their crack down on places suspected to be selling alcohol on Tuesday in Lakes state capital, Rumbek. The decision to close bars selling wine, beer and locally brewed alcoholic