How inflation affects South Sudanese

By Ater Barnaba


The inflation in South Sudan is caused by the economic crisis due the conflict in the country, low oil production and disruption of agriculture. The fiscal deficit, inflation and parallel market premium have soared.

This macroeconomic collapse has crushed the livelihoods of many South Sudanese which has made the life of citizens hard and resulted to the high rate of crimes in the country.

South Sudan now depends on the neighboring countries for imports of goods and services. The people who are affected have in recent years seen social unrest and political upheaval over much lower rates of inflation that South Sudan currently is facing.

This inflation is a symptom of the economic chronic illness which floats up on the surface and caused this distraction and the devaluation of South Sudanese Pounds. The inflation has really affected the employees who are depending on their daily wages or salaries when comparing the prices of commodities in regard to the daily Dollar rate in the black market.

The only way to control this inflation is to follow these three ways of managing the exchange rate, the first one is the fixed exchange rate which suits only those countries with big chunks of reserves like Uganda, Kenya, and many other neighboring countries.

The second one is the floating exchanging rate which suits the currency that is worldwide accepted. And the third one is managing floating exchange rate system that can control the outflow of the hard currency and require putting a range of two exchange rates with minimum and maximum.

This has to be done by the Central Bank of South Sudan (BOSS) in order to lessen down the dramatic increase of Dollar exchange rate to South Sudanese Pounds that tend to devaluate our local currencies and result to increase of the prices in the market.

On the other hand, one of the issues that put employees under the pressure of increased prices of goods and services for employees in daily consumption and welfare, each and every one of us need the following transport to go to your workplace, take meal each day for fitness, need for clean drinking water as well as basic services such as health and education, rent and bills, fuel and charcoal.

With the above mentioned argument, how would an employee who receives only 1,000 to 3,000 SSP survive? So the idea is to think of a way to diversify the employees low fixed income by reviewing their salaries and adding variable income that changes with prices through micro finance project to raise the issues from the ongoing inflation in South Sudan and how it affects people in the country and definitely, there is a lot of ideas that can be added by other people.


The author is a student at the University of Juba, School of Community Studies and Rural Development, Department of Development Communication and Public Relation

Tel: +211924267660


Leave a Response

error: Content is protected !!