At least 92% of South Sudan’s estimated 11 million people lived below the extreme poverty line in 2024, according to a new World Bank report published on Thursday.
According to the World Bank, being “below the extreme poverty line” means living on less than $2.15 per day.
The findings of the new report were revealed in the 7th edition of the World Bank’s annual South Sudan Economic Monitor (SSEM), launched in Juba. The report attributed the rise in poverty to weak governance, poor management of oil revenues, and ineffective fiscal policies.
Titled A Pathway to Overcome the Crisis, the report also highlighted that hyperinflation and widespread food insecurity were affecting nearly 80% of the population.
Speaking at the launch event, World Bank Group Country Manager Charles Undeland said the economy had declined significantly over the past several years, with a sharp deterioration in Fiscal Year 2025.
“We have seen economic decline over the past several years and a major deterioration in FY25. The report, based on the latest data, shows a contraction of roughly 30% in terms of GDP. Inflation is very high, reaching 139% in August 2024, which is eroding the purchasing power of all South Sudanese,” Mr. Undeland said.
South Sudan’s Minister of Finance and Planning, Dr. Marial Dongrin Ater, said the report’s findings would help guide ongoing and future policy interventions.
“The government has worked diligently to restore macroeconomic stability by implementing prudent fiscal and monetary policies. Through a coordinated approach, we have curtailed excessive monetary financing of deficits, stabilized inflation, and initiated measures to ensure greater efficiency in revenue collection. These efforts have yielded encouraging results, including exchange rate stability and enhanced fiscal transparency,” Dr. Ater said.
The Vice Chancellor of the University of Juba, Professor Robert Mayom Deng, warned that inflation continued to erode household purchasing power.
“The report addresses important macroeconomic policies needed to overcome the current crises and provides room for policy options that should be adopted to lay a solid foundation for inclusive growth. Let us speak about poverty. Inflation has resulted in a high cost of living, leading to greater poverty,” Prof. Deng said.
The South Sudan Economic Monitor is an annual World Bank report series that assesses key economic developments, prospects, and policies in South Sudan.