MONEY-IMF injects 334 million USD

By John Agok

The International Monetary Fund (IMF) has added another money worth 334 Million USD to South Sudan in a bid to reform and revive its’ economy.

According to a press statement released by the Central Bank yesterday ,  South Sudan has been allocated USD 334 Million by the International Monetary Fund (IMF) as part of the general allocation of Special Drawing Rights (SDRs), approved by the IMF Board of Directors on 2nd August 2021.

The allocation became effective yesterday, Monday 23rd August 2021.

The new resources came when the country is implementing essential economic reforms, including monetary and far-reaching foreign exchange market reforms, which involved refraining from monetary financing of the deficit.

Utilization of the new resources will address the budget deficit and the economic impacts of the COVID-19 Pandemic, the balance of payment, and reserves building.

Our current economic stabilization efforts have been supported by the significant recovery of oil prices and the two IMF disbursement under the Rapid Credit Facility in November 2020 and March 2021 for combined financing of U$$225 million.

These efforts have made a positive impact by helping the Country address the pandemic’s adverse effects, the exchange rate stabilization, declining inflation, and the government’s ability to reduce salary arrears substantially.

Commenting on this new development, the Governor of Central Bank of South Sudan, Dier Tong stated that, “the additional USD 334 Million allocated by the IMF and improving oil revenue will substantially boost the Country’s foreign exchange reserves”.   He further stressed that, “the increased in reserves will help build external resilience and sustain the current reforms in the foreign exchange market. Building reserves, in turn, is expected to facilitate price stability and investment.

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