Archive for the ‘Investments’ Category


By Garang Atem Ayiik (Gatem), Nairobi, Kenya

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January 18, 2017 (SSB) — This week, H.E President Salva Kiir issued a decree relieving top officials in central bank of South Sudan and appointing a new governor and his deputy. As expected, the President is concerned about hyper-inflation that is causing misery to citizens.

Author of this article believe that strong institutions, manned by strong people, play complementary role in meeting an institutional goals.

Without significant changes to central bank’s operation; so long as a central bank remain as an ATM of executive, so long technical staffs’ capacities are not enhanced, recent changes in central bank can be analogized to “changing monkeys on trees, but leaving the forest intact.”

On central bank governance, economists agreed that a good central bank is built on three pillars – independence, accountability and transparency. Any form of governance adopted by a central bank, has an impact on achieving its main objective of macroeconomic stability.

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IMF Staff Completes 2016 Article IV Mission on South Sudan

“South Sudan faces massive economic challenges in the wake of prolonged internal conflict and subdued oil prices. A relapse of violence in July following the formation of the Transitional Government of National Unity three months earlier compounded the crisis which started in December 2013 and challenged the peace process. Real income, adjusted for terms of trade losses, has declined by about 50 percent since 2013 and the number of people in need of humanitarian assistance has risen to unprecedented levels. Inflation has soared to about 500 percent (12 months through October), the exchange rate has depreciated steeply, and foreign exchange reserves are close to exhaustion. According to UN specialized organizations, the conflict has led to nearly two million internally displaced, more than one million refugees in neighboring countries, and about five million food-insecure South Sudanese.”

December 14, 2016 (SSB) —- End-of-Mission press releases include statements of IMF staff teams that convey preliminary findings after a visit to a country. The views expressed in this statement are those of the IMF staff and do not necessarily represent the views of the IMF’s Executive Board. Based on the preliminary findings of this mission, staff will prepare a report that, subject to management approval, will be presented to the IMF’s Executive Board for discussion and decision

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Michael Malaak Mayen, Juba, South Sudan

salary

salary

December 12, 2016 (SSB) — The effectiveness of official intervention in foreign exchange market is a crucial policy issue for South Sudan. The Bank of South Sudan abolished its fixed exchange rate regime due to gross overvaluation of it currency, the South Sudanese Pound. Since the abandoning of the fixed exchange rate regime and the introduction of a manage float in 2015, the Bank of South Sudan introduced the monthly and sometimes quarterly auctioning of foreign exchange. In the new regime, the Bank instructed commercial banks to report their daily exchange rates.

In the face of the underdeveloped interbank foreign exchange market, the weighted average of commercial banks daily rates, enable the Bank of South Sudan to obtain market-based official exchange rate.  The introduction of the auctions was the consequence of the country’s shallow and underdeveloped interbank market for foreign exchange. Intervention in foreign exchange market changes the balance between domestic and foreign currency denominated in the markets, which induces the investors to adjust their portfolio, changing the exchange rate. Furthermore, the information contained in interventions modifies expectations regarding the future spot exchange rate, leading to an immediate adjustment to the current exchange rate.

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By Gen. Salva Kiir Mayardit, Juba, South Sudan

kiir and garang

Commander John Garang and Commander Salva Kiir in Rumbek, during the war of liberation struggle

November 24, 2016 (SSB) — We have been challenged economically as a nation and you my people may be thinking that the government is not doing anything to counter this. I am glad to inform you that we are working on how to achieve a sustainable economic growth. We are promoting social equity and this will mean giving equal opportunities in all fields to all the citizens of south Sudan in a healthy environment.

Before anything of this sort is achieved, security and safety must be guaranteed to all the citizens of south Sudan because it’s only in a peaceful and safe environment people can get to work on issues affecting them or the nation as a whole on daily basis. My government is going to release funds to improve our road conditions and security will be deployed in areas where unknown gunmen have been maiming our citizens.

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The gov’t of the Republic of South Sudan is contributing 73 billion SSP; the total budget, including pledged donors’ contribution amount to about 142 billion SSP. Of the national budget, Juba is taking 97% while states take 3%; that is, of the 73 billion ssp, only 2 billion ssp will be shared among the 28 states. And that is the least of the problem, for Khartoum is said to be pocketing about 80% of the oil revenue and the rest by the foreign oil companies. This time around though, Juba can’t afford to shut it down even if they are literally on the verge of getting negative%.

hunger

Comments and Observations of the Goch Makuach-led Sub-committee on Revenues

November 23, 2016 (SSB) — The Committee takes this opportunity to appreciate Hon. Stephen Dhieu Dau, Minister of Finance and Planning, TGoNU for his FY2016/2017 budget speech to the Transitional National Legislature on 18 October 2016. The Committee has examined four documents with respect to the resource envelope. These were: a) the FY2016/2017 budget speech; b) economic and fiscal stabilization measures action plan; c) taxation amendment bill, 2016; and d) financial bill, 2016/2017. Based on information obtained from these documents, the Committee held meetings with 37 potential sources of revenue, including donor agencies. It is on the basis of these meetings that the Committee would like to make general and specific comments on the proposed resource envelope for the FY2016/2017 budget.

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By Thon Atem Ayiei, Juba, South Sudan

Burnt oil tanker along the Nimule-Juba road, Sept 2016.jpg

Burnt oil tanker along the Nimule-Juba road, Sept 2016.jpg

November 16, 2016 (SSB) — Yesterday night while I was concluding my article about United Nation Mission in South Sudan (UNMISS), one of my best friends phoned me to write an article about Nile Petroleum Operating Company Limited (Nile-Pet), the leading oil importing company and a government own entity. I responded to him that I am now working on a pressing article about UN misperception to protect and to provide humanitarian needs to the suffering people of south Sudan.

Secondly, this institution is a free-pub for anyone in charge to grab enough money in less than a month because of the contradiction incurred by the ministry of petroleum to mingle themselves in the activities of entitled business institution.

In the morning as I was going for work, I usually used public means to take me to juba town, on my way reaching Nile-Pet Mobil patrol station I was surprised by a very long line of vehicles lining for fuel from the patrol station up to the whole of Hai-cinima residential area. I asked myself, Will all these vehicles be able to get fuel? But the driver of the taxi was very bitter about Nile-Pet mismanagement and he said if I were the President of the republic, I would have sacked the entire company of the Nile petroleum to bring the management to be tried in the court of law.

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By Madhieu Thiep Madhieu, Juba, South Sudan

farm in Bor, Jonglei state

Abel Majur Leek’s farm in Mareng, Bor, Jonglei state

August 18, 2016 (SSB) — Road transport is one of the cheapest mean commonly used by poor, average and rich class of people globally. All mean of transport including roads are vital and compulsory to be established by government in any promising nation like South Sudan. In this newest nation, roads connectivity, maintenance and repairs and construction have been heavily sidelined and remain a great challenge since we were under Khartoum regime, until the country broke away via plebiscite in Feb. 2011.

Major roads highways connecting former ten states with national capital are completely spoiled and remained flooded during rainy season, hampering transportation of commodities to various states and counties headquarters respectively. An example is Juba-Rumbek-Wau road which is the main route supplying greater Bhar-El Ghazal states with goods had been badly damaged beyond description and repair.

This highway becomes flood with rain water during wet months of the year forcing trucks to camp alongside the roads, for quiet handful number of days or month. Some heavy trucks overturned on this muddy path, with goods causing lives lost and injuries while dozen stuck for a months. This culminated to delayment of food supply reaching the affected areas quickly and forced half a million of people to acute food shortage in the country.

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By Mark Francis, Canada

john luk

Minister John Luk at press conference in Juba, 7 April 2011

July 5, 2016 (SSB) — Brexit can be very positive for Africa, especially those countries which speak English and were a part of the British world at some point, providing links.

The Brexit vote has been falsely categorized as driven by anti-immigrant (racist) sentiment, (as an aside, such nasty allegations are a cheap crappy way to engage in debate).

While that was at play for a small minority of people, there was a larger portion of the “Remainers” who actually reject Britain (good and bad – we all have warts and evil in our past, and that goes for countries, too), a similarly ignorant view.

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Why has land administration in South Sudan subsequently remain largely without a clear statutory basis?

By Lino Lual Lual, Juba, South Sudan

land grabbing in South Sudan

land grabbing in South Sudan

July 5, 2016 (SSB) — Squatting and land-grabbing have become major issues after South Sudan got her Independent. The lack of a clear policy and legal framework on land issues under-resourced institutions and the lack of a systematic, transparent process for plot allocation have also meant that ordinary citizens find it increasingly difficult to access land within the towns of South Sudan. Corruption is rife and in practice only those with money or connections can obtain land.

The majority of Juba’s people live without secure land tenure and are hence under constant threat of their life and eviction from the opportunists. Many have experienced repeated demolitions of their homes and have in the process been relocated to the outskirts of the city of Juba. The SPLM frequently used the slogan ‘the land belongs to the people’, or community although this principle was never actually enshrined in the Interim Constitution and other constitutions of Southern Sudan. Nor does the Act spell out clearly enough the roles and responsibilities of the various levels of government in relation to land administration in the country.

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The IMF Assistance is Not a Priority to the Nation: Restructuring of Systems and Economic Reforms are

 By Madit Them Arop, Juba, South Sudan

peace in RSS

Time for peace in South Sudan?

Introduction

June 24, 2016 (SSB) —- This writing is grouped into three segments arranged on basis suitable to the author and purposively serves the chosen organization of the work. It is openly started with elements thoughtfully considered, if well revised, strategized and legalized would open opportunity rooms for a better system. Before the elements, the nation overview since its inception demonstrated practices seems permanent from variety perspectives when in truth unearthing them is possible. The denial to put tangible system up has frustrated both political, economic, culture and social norms. And it’s the point being tried to unpack such that the elements to address have proper foundation with clarity.

First and at the world level, the Republic of South Sudan is one of the nations with plenty of resources. Evidently, the resources are in abundant, how and why the nation is on its knees is the puzzle to deal with. Second, restructuring of system (the corrupt practices): such resources are critically witnessed limbless, why it’s the case; does corruption has a hand in this? Some nations thrive without oil and other major resources, South Sudan is not exception, and why it’s sinking? Third, the IMF usefulness and its doubted side: why assistance rather than restructuring of the system? And finally, conclusion will serves as summary package focusing on whether taking of the IMF assistance would be healthy or it may requires prepared time to cross the loan-bridge to help evaluate the nation’s readiness.

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By Emmanuel Malual Makuach, Nairobi, Kenya

agriculture

Hunger can only be treated with food, not politics!

June 12, 2016 (SSB) — South Sudan need more agricultural extension officers than political extension officers who are an agent of conflicts in the country. Agricultures extensions officers will be an agent of food security and political stability in our societies. Agriculture extension officers are intermediaries between research and farmers. They operate as facilitators and communicators, helping farmers in their decision-making and ensuring that appropriate knowledge is implemented to obtain the best results in agriculture in South Sudan

Recent donation of tractors by President Kiir to all states of South Sudan was a good move to curb the food insecurity. However, there is still acute shortages of agricultural extension officers to teach farmers agricultural information on natural resources, animals, crops, on how best to utilize the farmland, how to construct proper irrigation schemes, economic use and storage of water, how to combat animal disease, and save on the cost of farming equipment and procedures.

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Hunger can only be treated with food not politics! Is Agriculture the backbone of South Sudan Economy?

By Machiek Nhial Makeny, Eldoret, Kenya

agriculture

Hunger can only be treated with food, not politics!

June 4, 2016 (SSB) — I am always tossed off from centre of Gravity by failure of the leaders to materialized promises as they nicely and decoratively spoken; in agog and hopes to witness them happening, I still end up in psychological torture when they are nowhere to be seen/implemented. on the other side, after successfully failing to deliver their pledges, they end up being adored and welcomed with more jubilations by the communities they originate from – a dilemma which brings a twist in matrix of who to be blamed, the communities or the leaders who are blindfolding? It’s mystifying to digest with ease unless we seek God’s intervention to reboot everything in this Country. It’s a nasty attitude and discernment which posed a great threat to our status quo as an independent South Sudan. As loudly spoken by the president and his 1st Vice president Dr. Riek Machar before he rebel that Agriculture is the backbone of South Sudan Economy, nothing had appeared to have been achieved despite good words and I am sure they are not the only leaders who have the idea of prioritizing Agro-sector as the main backbone of our economy.

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By Abraham Mou Magok, Yirol, South Sudan

Mou Magok, the author, in his garden in Yirol, Eastern Lakes State.

Mou Magok, the author, in his garden in Yirol, Eastern Lakes State..jpg

 

May 3, 2016 (SSB)  —-  There are identified main vital factors destabilizing peace reality and achievement between Eastern and Western Lakes State Communities. The issues that featured most were; cattle rustling/theft, road ambushes for robberies, revenge killings, rape of women on roads and bushes while fetching firewood, vegetables, grass, wild fruits and provocative songs of painful past events. The perpetrators of these criminal acts are armed youth, Gelweng of Greater Lakes State territories identified as Yirol West, Yirol East, Rumbek East and Rumbek Central Counties. The four said counties are apparently the most vulnerable group to the impact of the on-going conflict. Aluakluak, Geer, Ngop Payams of Yirol bordering Akot and Paloch Payams of Rumbek are much prone to cattle rustling carried out by armed Youth from either side of the conflict.

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By Ayuen Garang Ajok, Washington DC, USA

role of USAID in Uganda development

The Role of USAID Private Sector in Uganda: How the Private Sector Supports Uganda’s Economic Growth.

EXECUTIVE SUMMARY

March 30, 2016 (SSB) —- USAID is the United States Government agency that was formed by the U.S government to work on the eradication of extreme poverty and to enable resilient and democratic societies in order for those societies to realize their potential in the global economy. This paper analyzes the role USAID Private Sector plays in Uganda’s country development.

The USAID Mission indicates, “We partner to end extreme poverty and to promote resilient, democratic societies while advancing our security and prosperity.”[1] USAID’s Office of Economic Growth in Uganda works with Ugandan private sectors in order to promote development objectives in Uganda.

This analysis also explores the metrics for success USAID private sector programs uses to achieve economic growth in Uganda. In addition, this research looks at the role of the Ugandan government, with regard to the promotion of economic growth and country development and in other sectors of the economy, especially in agriculture. Finally, the paper considers contemporary challenges that derail economic activity in Uganda, particularly challenges related to infrastructure.

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By Paul Duwar Bak, Kampala, Uganda

salary

salary

March 26, 2016 (SSB)  —-  The free market that was decreed by the minister of finance and the governor of the central bank of south Sudan cannot be the solution to the rising inflation in the country. The issue of who is right or wrong is not what south Sudanese should be looking at, it is important to understand the economics of what caused the inflation and raised the prices for staple foods, fuel and transport rose among others and how to cure it.

Currently, inflation in south Sudan has hit a double digit, south Sudan bureau of statistic reported earlier that the inflation rate for the year end December 2015 rose to 11. % from 6.4%. This is the highest inflation rate since south Sudan got it/ her independence 2011.

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Your Excellency, President Salva Kiir Mayardit, for South Sudan to survive the economic crunch, you must fight economic saboteurs within South Sudan Banks

By Abel Majur Leek, Juba, South Sudan

corruption

From rags to riches: the amazing transition of the South Sudanese Minister

March 22, 2016 (SSB)  —-  So far, South Sudanese are genuinely convinced that you and your team are resolved to build a stable and prosperous nation; a country that is inclusive of all her diverse people and a country that is at ease with itself.

Every patriotic South Sudanese are also mindful of why relentless war against the cancer of corruption is necessary, and so far your administration is standing firm on this in the interest of all, especially the downtrodden in the society, this is indeed the beauty of modern and decent democracy. So long as corruption holds center stage in the affairs of South Sudan, the country will continue to suffer incalculable harm, but with your intervention sir, South Sudan is turning the tide for good.

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By Ustaz Mabior Rioc Manyang, Juba, South Sudan

alliance high, Bor

The first form one students of Alliance [2009]. Front line from left; Akau, Achol, Thon, Guet, Bol, Amer, Chol. Back line from left; Diing, xxxxxx, Bok, Ngong, Deng, xxxxx, Alier

November 25, 2015 (SSB)  —  Education is a wider concept with no single standard definition agreed upon by the scholars and academics. Plato defines education as a process of drawing and guiding children towards the principle which is pronounced right by law and confirmed as a truly right by the experience of the oldest and the most just. In other words, education in its general sense is a form of learning in which the knowledge, skills, values, beliefs, positive attitudes and habits of a group of people are transferred from one generation to the next through teaching, training, or research.

However, the most agreed definition of education is that, it is a process of transfer, consumption; accumulation and adoption of skills, knowledge ability and change of attitudes among the individuals or between groups of people. It is both a conscious and unconscious process that aims at creating desirable changes in both individuals and the society in which the inhabitants interact. Education may also include informal transmission of such information from one human being to another. Any experience that has a formative effect on the way one thinks, feels, or acts may be considered educational.

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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

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By Garang Atem Ayiik, Kuala Lumpur, Malaysia

kuruc1. Introduction

In his book ‘Leap into the Future’, Prof Anyang Nyongo’, narrated his experience when he asked a senior Malaysia government officer on what Malaysia did right that leap them into better economic prospects and what Kenya did wrong?

The officer, surprisingly told Nyongo’ while Kenya killed Tom Mboya, Malaysia used Kenya Sessional Paper Number 10 of 1965 developed by Tom Mboya when he was a minister for Economic Planning as its blue-print for Malaysian economic growth.

Whether this was a made up by the good political science professor to smartly experience his argument on how Malaysia overtook Kenya economically, there is some good sense in the statement.

Kenya 1965 Sessional Paper Number 10 was conceptually based on government planning as tool for socio-economic development. Whether true or not, Malaysia economic growth has been built around government planning and hence the same economic foundation as Kenya Sessional Paper Number 10.

In this regards, the officer was in other words telling Prof. Nyongo’, Kenya and other third World Countries at large the followings: one, there will never be development without well-thought out economic path (economic plan), economic actions (implementation of plan), routinely follow up and correction mechanisms (monitoring and evaluations of economic progress); and finally without Tom Mboyas (technical and financial resources).

Prof. Nyongo’ documented in his book how in 1971 Malaysia government officers were impressed by the level of progress in Kenya and requested Kenya government to trained Malaysia government’s employees at Kenya Institute of Management. Today, Malaysia has made significant and steady economic progress overtaking many countries that they were at far in 1960s and 1970s.

In 2011, South Sudan became an independent nation. Like Malaysia in 1960s and 1970s, South Sudan has consistently, sent and continue to send its nationals for capacity building missions both on private and public cost.

Today, I am sitting in a lavish Hilton hotel in Kuala Lumpur at the cost of my employer, like the Malaysians of 1970s in Kenya, I am impressed by the progress Malaysia has made and wondering if South Sudan can learn some lessons from Malaysia in accelerating its economic progress.

The aim of this article is to try to review economic paths taken by Malaysia and link the relevance to South Sudan economic case; second, identify prerequisite economic conditions for economic progress in South Sudan and finally, suggest some policy options for South Sudan.

This article, try to illuminates South Sudan economic priorities, institutional development and policies and hence should not be treated as holistic economic policy guide.

2. Malaysia Experience

Since it became an independent country in 1957, Malaysia has since maintained an average of over 6% Gross Domestic Product, experiencing some economic challenges during 1990s Asia- financial crisis but recovered quickly than other affected Asian-nations. It demonstrated it is a resilient and steady economy within the Asian-Tigers.

It has reduced reliance on agriculture and natural resource based activities which were the main contributors to GDP in 1970s by expanding manufacturing of exports, mainly electronics and electrical products; increased investments in services and construction industry by encouraging foreign investments and tourism.

As result of its economic policies, Malaysia has experienced stable macroeconomic indicators in term of growth, low inflation, low interest rate, high investment rate and stable exchange rate except during 1990s financial crisis which were speedily arrested coupled with exceedingly good infrastructure improvement.

Though, not homogenous, racial issue that aroused in 1970s commonly known as 31 May incidence were quickly addressed to ensure equity between the three communities of Malay, Chinese, and Indians that made up Malaysia.

Malaysia has maintained a five-year economic plans. Starting with its first plan in 1965. These plans ensure that economic direction envisaged are achieved. In 1971, when there was a riot in Kuala Lumpur on racial basis, the government implemented New Economic Policy to ensure equity to all ethnic group through education and business affirmative actions.

In 1991, the government implemented National Development Policy that envisage self-sufficient and industrialized nation by 2020. With the current progress, there is no doubt that Malaysian is heading in the right direction. This courage might be useful for cohesive and nationalistic policies after 15 December 2013 incidence in South Sudan.

Malaysia has demonstrated ownership of its economic growth. When its economy underwent throughout financial stress in 1990s, Malaysia refused economic aid package from International Monetary Fund and World Bank and instead fought its economic challenges to surprise of many analysts.

Whether this was a sign of self-confidence or economic lab-test, the fact Malaysia recovered than other affected economies in Asian, points to its right judgment. South Sudan needs this courage to tackle its reliance on oil, fight corruption and manage its exchange rate menace with conviction.

During the same period of 1990s, when it currency depreciated, Malaysia adopted fixed exchange rate against now favored float rate; and suspended trading of shares in capital market to reduce the impact of capital flight.

Though these measures, were against now favored liberalization principles, Malaysia has quite often utilized protective policy to its favors. Malaysia used subsidies and protective policies were it deems fit. Essential commodities like food, construction materials and natural gas had at times been subsidized to ensure right incentives and/or services are given to the citizens cheaply. This approach and view might be useful for South Sudan regional and international economic policy respond.

The government through its Economic Planning Unit has directed, continue to direct growth of open but state-influenced economy in Malaysia. Sovereign Wealth Fund, Pension Scheme and Industrial Master Plan help the government to plans and invests in key strategic sectors of the economy in partnership with private companies. Some of the sectors the government invested are automotive, banking and pharmaceuticals companies.

This points to the fact that Malaysia government believes in planning and old economic wisdom of mercantilism as used by other countries. There is need for South Sudan to have strong economic policy advice before economic decisions – oil shutdown, devaluation by Central Bank in 2013 and ongoing EAC proposal are some critical decisions that required good economic thought processes.

Though initially a natural resource and agriculture economy, Malaysia has diversified its economy by encouraging private sector to grow services and manufacturing industries becoming number 6th in ease of doing business according to World Bank report, 2013.

The infrastructure has immensely improved since 1970s making Malaysia a tourism, foreign direct investment destination. The Twin Tower of Petronas and Communication Center signals the rise of Malaysia and act as ‘confidence breathers’ into the investors. Overall Malaysia, there is evidence of Oil money in development, it might be rightful to show South Sudan oil money through development.

Malaysia discovered that diversification is key and there can never be a growth without human capital which is the diversification tool. The growth and easy financing for education, demonstrated Malaysia rightful investment.

There can be resource as Oil in South Sudan, but without right capacities and technology, the sector will go to the owners of capacities like Malaysia, Indian and Chinese as the case for South Sudan. South Sudan needs to show like Malaysia, 40 years later that its benefits from capacity building and have ‘leap into economic future’.

To increase service industry and manufacturing to grow the economy, a nation requires great deal of human capital, good legal framework work and corruption free-country, which are key ingredients of Malaysia growth. Malaysia has also engaged in regionally economic partnership on cautious approach.

3. Lessons and Policy Options for South Sudan

Malaysia has demonstrated economic plans are key and must be prepare, follow, financed and revised when and where necessary. It is not sufficient to have South Sudan Development 2011 – 2013 that is not followed and implemented;

Though initially a resourced and agriculture based economy, Malaysia has identified other key sectors to diversify its economy. There is need to invest in education, infrastructure, regulations and proper planning to move the economy into envisaged diversification direction;

Macroeconomic stability in term of low interest rate, low inflation, stable exchange rate, and economic growth are indicators of a well manage economy and are ingredients of economic growth. It is not easy to have economic progress in an environment of volatile exchange and inflation rate; renting seeking exchange rate environment and lack of access to loans – South Sudan must and should put its thought right;

Malaysia experienced racial sentiments in 1970s, and experience financial crisis in 1990s. It seems these crisis has given Malaysia a better way to solve them as the high magnitude has not resurfaced. South Sudan has recently experienced bad economic and political signals, its authors believes that if South Sudan takes ownership and do right prescriptions, these challenges will never resurface in a big magnitude;

Malaysia has been cautious in term of adopting out right liberalization policy. Subsidies, protection policies, exchange rate and capital control policies have been instrumental in arresting the 1990s financial crisis and help in diversifying and developing strategic sectors. South Sudan might want to rethink its current open-arms liberalization approach;

Improve ease of doing business in term of developing better infrastructures, human capital, and good legal framework work and corruption free-country business environment;

There is Economic Planning Unit in the office of the Prime Minister of Malaysia to help directs, responds and advises on economic issues to the Prime Minister. It could be useful for South Sudan to institutionalize economics decision making in the Office of the President/Government with well-equipped and competently staffed. Economics decision is bread and butter for a nation, it cannot be left to ad hoc processes and more importantly as it touches on economic interests.

Garang Atem Ayiik is an independent South Sudan Economic Policy commentator. He lives in Juba but was in Kuala Lumpur at the time of writing this article. He can be reached at garangatemayiik@gmail.com


The 2013 corruption perceptions index measures the perceived levels of public sector corruption in 177 countries and territories