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Difficulties facing the South Sudan economy.

By Dhieu Mathok Diing Wol May 16, 2009 -- There is no clear line provided by the CPA (Computer Press Association, Landing, NJ) An earlier membership organization founded in 1983 that promoted excellence in computer journalism. Its annual awards honored outstanding examples in print, broadcast and electronic media. The CPA disbanded in 2000.  on what should be the interim arrangements on macroeconomic mac·ro·ec·o·nom·ics  
n. (used with a sing. verb)
The study of the overall aspects and workings of a national economy, such as income, output, and the interrelationship among diverse economic sectors.
 policies in the Sudan. Unlike what was spelled out clearly about the new banking system in the country--that there must be two systems, an Islamic one in the North and a conventional/traditional banking system in the South--this has not been the case as far as macroeconomic policy in the Sudan is Sudan I (also commonly known as CI Soylent Yellow 14 and Soylent Orange R), is a lysochrome, an diazo-conjugate dye with a chemical formula of 1-phenylazo-2-naphthol. Sudan I is a powdered substance with an orange-red appearance.  concerned. Many people thought that since the overall system in the country is unitary, then the macroeconomic policies ought to be as well. But the North already has adopted an Islamic system to govern all business transactions in both public and private sectors since 1990 as a part of Islamization of the economy in the Sudan. According to according to
1. As stated or indicated by; on the authority of: according to historians.

2. In keeping with: according to instructions.

 Muslims, Islam cannot be isolated from public life; it is a part of their daily activities (Five Prayers a day). Therefore, the issue is not confined to politics alone, but all aspects governing human activities and their lives including economic transactions. Considering the above situation in "The Old Sudan", GOSS has powers to establish its own economic trend, which is completely different from the Islamic system operating in Khartoum and should be in line with CPA determinations about Southern Sudan Southern Sudan is a region of Sudan, comprising ten of that country's provinces. The Sudanese government agreed to give autonomy to the region in the Comprehensive Peace Agreement[1]  during the interim period. Article 1.2 in the Machakos Protocol clearly stated "the people of South Sudan have the right to control and govern affairs in their region and participate equitably in the National Government." This provision gave GOSS powers to formulate policies that suit South Sudan since human aspirations could be enhanced through introduction and promotion of relevant economic policies. It is a sole responsibility of the South Sudan's autonomous administration in Juba to explore policies that could serve interest of the people based on the preferential peculiarity of the region. Despite this clear responsibility, confusion arises due to enshrinement of the Article 32 in Schedule (A), "National Powers of the Interim Constitution 2005," regarding economic policy in the country from the time. At the time the conflict over national prerogative An exclusive privilege. The special power or peculiar right possessed by an official by virtue of his or her office. In English Law, a discretionary power that exceeds and is unaffected by any other power; the special preeminence that the monarch has over and above all others,  was resolved by establishing concurrent powers In the United States and many other Federalist Nations, concurrent powers are powers held by both the states and the federal government and may be exercised simultaneously within the same territory and in relation to the same body of citizens.  shared together by the two levels established by the CPA to introduce symmetric systems (one country, two systems). The rationale behind the provision stemmed from the government insistence on an Islamic system in the country and the reluctance of the SPLM SPLM Sudan People's Liberation Movement
SPLM Shielded Planar Layered Media
 to accept this arrangement. This confusion in the economic policies of the country must be relegated in favour of CPA since the Article 225 of the Interim Constitution 2005 says, "The Comprehensive Peace Agreement is deemed to have been duly incorporated in this Constitution; any provisions of the Comprehensive Peace Agreement which are not expressly incorporated herein shall be considered as of this constitution." The responsibility of promotion of the economic sector in the South should be carried out mutually by those institutions working in Juba, namely: Ministry of Finance and Economic Development, Ministry of Commerce, Supply and Trades, Ministry of Animal Resources, Ministry of Agriculture and Forestry Ministry of Agriculture and Forestry
  • Ministry of Agriculture and Forestry (New Zealand)
  • Ministry of Agriculture and Forestry (South Korea)
, Ministry of Telecommunications, Ministry of Irrigation irrigation, in agriculture, artificial watering of the land. Although used chiefly in regions with annual rainfall of less than 20 in. (51 cm), it is also used in wetter areas to grow certain crops, e.g., rice. , Ministry of Industry and Mining, Ministry of Regional Cooperation and the GOSS Liaison Offices operating in neighbouring, sisterly and friendly countries. It seems people are confused for what are exactly the functions and duties of the ministries and missions operating outside Southern Sudan. In the last meeting of SPLM Political Bureau in April 2009 when the economic devastation haunting Southern Sudan was reviewed, one of the members asked for amalgamation amalgamation /amal·ga·ma·tion/ (ah-mal´gah-ma´shun) trituration (3).
amalgamation (
 of all ministries into only security (SPLA SPLA Sudan People's Liberation Army
SPLA Secretory Phospholipase A
SPLA Service Provider License Agreement (Microsoft)
SPLA Southern Private Landlords Association (UK) 
 and all other Armed Forces), economics (Finance, Agriculture, Animal Resources etc) and a ministry for general services (Health, Education, Roads, Culture and Information etc) as a solution to reduce the huge workforce and numbers of constitutional post-holders in GOSS -- but the proposal was overlooked and turned down. Involvement of a private sector will help in boosting the economy. The attempt to support indigenous traders in Juba to capture markets was a good idea but lacking any professional mechanism which led to its total failure. In Juba, one can easily realize very intensive presence of foreigners Foreigners


the condition of being an alien.


Law. the seizure of foreign subjects to enforce a claim for justice or other right against their nation.

gypsyologist, gipsyologist

 and their domination of the markets. Having foreign partners in our economy is excellent but needs regulation. Our Offices working abroad are needed to be involved in regulating the trade between South Sudan and the neighbouring countries. South Sudan should discover its own economic potential and not base its economy on the monthly oil percentage transfers from Khartoum. The oil revenues should be a catalyst for developing other sectors like agriculture, industry, telecommunications and other services. Depending on oil 90% to run our autonomous region is dangerous not only in terms of the economic dependency but as well as the political aspirations of people of Southern Sudan are concerned. GOSS should not misdirect mis·di·rect  
tr.v. mis·di·rect·ed, mis·di·rect·ing, mis·di·rects
1. To aim (a blow or projectile, for example) badly.

2. To give wrong instructions or directions to.

 our economy. During the first autonomous government of the Higher Executive Council (1972-1983), the main sources of our revenues were agriculture, taxes and custom duties from border trade. Agricultural products produced in Northern Bahr el Ghazal Bahr el Gha·zal  

A river of southwest Sudan flowing about 805 km (500 mi) east to Lake No, where it joins the Bahr el Jebel.
, Western and Eastern Equatoria and the Upper Nile Coordinates:

Upper Nile (Arabic: أعالي النيل; transliterated: (A'aly an-Nyl) or (Aâlâ En Nîl) is one of the 26
, for example, were sold in the neighbouring countries. All the agricultural schemes are supposed to be rehabilitated and innovated for solving the problem of food security in South Sudan. The amount spent in purchasing cereals was more than enough to maintain the existing projects and establish new ones. China is expressing its interest to invest in forestry in South Sudan by purchasing woods and timbers. Since the forest is a renewable resource Noun 1. renewable resource - any natural resource (as wood or solar energy) that can be replenished naturally with the passage of time
natural resource, natural resources - resources (actual and potential) supplied by nature
, there was no point as why China was denied this golden opportunity, which can generate income for South Sudan until the recovery of the economy. Another important economic sector which needs GOSS attention to is animal resources. The huge numbers of the cattle owned by people of Southern Sudan--which oft now becomes a source of conflicts between the tribes--is unbelievable. Formulating policies that would encourage people to invest in their cattle is needed for which it can serve two advantages: introducing the animals in the economic circle of the South, and minimization of conflicts generated by cattle ownership in the communities. With globalization globalization

Process by which the experience of everyday life, marked by the diffusion of commodities and ideas, is becoming standardized around the world. Factors that have contributed to globalization include increasingly sophisticated communications and transportation
, the investment in telecommunication is profitable. The South currently, operates two companies of Gemtel and Vivacell. However, the market is still being dominated by the companies originated from the North and the money generated from this investment goes back to Khartoum, even as liquidity because there are no regulations that prevent carrying monies out of South Sudan. The best ways would have been through the bank transfers. This has caused great damage to our economy. Behaving as consumers all the time is what GOSS should discourage through formulating new economic policies -- and surely it can succeed, since all factors of production are available in the South. The imbalance of foreign trades becomes the immanent im·ma·nent  
1. Existing or remaining within; inherent: believed in a God immanent in humans.

2. Restricted entirely to the mind; subjective.
 opposite to what late Dr. John Garang John Garang de Mabior (June 23, 1945 – July 30, 2005) was the vice president of Sudan and former leader of the rebel Sudan People's Liberation Army. Early years  had been telling people, that South Sudan has a good market for selling its products to a huge population in East Africa and Great lakes Great Lakes, group of five freshwater lakes, central North America, creating a natural border between the United States and Canada and forming the largest body of freshwater in the world, with a combined surface area of c.95,000 sq mi (246,050 sq km).  countries. One wonders why economic theories are not functioning well in South Sudan; there are only imports instead of both imports and exports, there are consumers, instead of producers and consumers, there is demand, only for supply from outside. This is an unacceptable situation. GOSS must formulate laws and regulations helping to enhance economic and social developments and serve to eliminate the corruption in the government institutions. The bringing of corrupt elements to book needs laws and regulations governing the administrative procedures and behavior of the public personalities. South Sudan is a rich land, but the regime in Khartoum has been permanently misinterpreting the Agreement for its benefits. The National Petroleum Commission which is supposed to act as a national body to promote utilization of petroleum in the whole country at large was manipulated by Northerners and used for the welfare of their economy. More explorations are being conducted in the North since the era of the CPA and the South was denied this right. Instead, its contracts which were signed with foreign companies before implementation of the Agreement were refused execution and canceled. The Bank of Southern Sudan (BOSS) is facing difficulties in possessing foreign currencies. The Central Bank of Sudan Bank of Sudan is the central bank of the Sudan. The bank was formed in 1960, four years after Sudan's independence. It is located in Khartoum and its governor is currently Sabir Mohammed Hassan.  (SBOS) dominates possession of a reserve funds in hard currency. The crisis over this issue was generated by rumours circulated last year that there was a shipping of military equipments from Ukraine via Kenya to South Sudan and the goods were alleged to be owned by SPLA. This allegation was disputed by GOSS and Kenya Government. Developmental projects which are already on ground are threatened to cease from operation, because of lack of the cash liquidity in the South and the refusal of the Federal Ministry of Finance and National economic to grant the companies the Bank Guarantees. All attempts by the GOSS to open the Accounts in foreign countries were rejected by GONU.

A little amount from donors' pledges to South Sudan is administered by Khartoum and directed to projects like infrastructures and capacity buildings. The ambiguities that surround the Wealth Sharing Protocol of the CPA and provisions regulating the economic relations between the two levels of the government in the National Interim Constitution of 2005 were exploited by the North to speed up its marginalization mar·gin·al·ize  
tr.v. mar·gin·al·ized, mar·gin·al·iz·ing, mar·gin·al·iz·es
To relegate or confine to a lower or outer limit or edge, as of social standing.
 to maximum standard during the Interim period before the South decides its destiny in 2011. In the long run, this has contributed effectively to making unity less attractive. One can further conclude that this may lead to the secession of South Sudan. Dr. Dhieu Mathok is a former Minister and lecturer at the Center for Peace and Development Studies, University of Juba Juba National University, commonly referred to as the University of Juba, is a university named after Juba, Sudan. In late 2006, the Government of Southern Sudan's Ministry of Education agreed to change its name to Juba National University. . He can be reached at

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Publication:Sudan Tribune (Sudan)
Date:May 17, 2009
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