Crisis: South Sudan Runs out of Cash
South Sudan, the world’s youngest nation, is facing a cash crisis, with government struggling to pay civil servants’ December salaries, reports indicate.
According to sacked junior finance minister Ambrose Mou Riiny Thiikl, South Sudan’s economy is on its knees.
President Salva Kiir sacked Mou last week.
Kiir replaced Mou with Athian Diing.
MOU ON SOUTH SUDAN CASH CRISIS
“I think I was removed not because I said the country has run out of cash,” local media quoted Mou as saying.
Mou added: “The issue of money is not something new because everyone knows because we don’t have salaries for several months.”
The sacked minister also claimed that “employees of the ministry of foreign affairs have gone unpaid for nearly 10 months now, so it is a reality and anyone knows the problem, so it is not me who said it”.
According to Mou, South Sudan civil war and fall in oil prices have affected the economy.
Oil revenue funds over 95 per cent of South Sudan budget.
Consequently, Mou argues, South Sudan has choked on debts.
“When I came to the ministry I found that we had debts, and we are paying back the debts owed to companies. We are also paying money to Sudan based on the transitional financial arrangement deal, “he said.