The National Council of Ministers on Friday approved the draft 2024/2025 budget with focus on paying civil servants and the organized forces and cuts on travel.
Addressing reporters after the Cabinet meeting chaired by President Salva Kiir, Deputy Information Minister Dr Jacob Maiju Korok said the draft budget was presented by Finance Minister Dr. Marial Dongrin Ater.
He said this Fiscal Year’s Budget is under the theme, “…to accelerate economic recovery through improving livelihood sustaining peace and investment in critical social services and agriculture”.
Korok said the revised budget aims to address costs related to peace, salaries and social services.
The budget was revised to address cost related to peace implementation, civil servants’ and the organized forces’ salary arrears, foreign missions, the states and the three administrative areas, the election related expenditure, critical investment in agriculture, mining and social services, he added.
“The budget estimates are 4.2 trillion SSP, the fiscal deficit is 1.9 trillion, which is 45% of the proposed expenditure. To reduce this deficit, the government will resume the Dar Blend exports, undertake exchange rates realignment, grants and borrowing, expenditure rationalization, cut down on capital expenditure and cut foreign travels,” Korok explained.
“So, it was deliberated thoroughly and passed with amendments” he said.
South Sudan’s annual budgets are supposed to be passed before end of June, but the country has often made them with late endorsements.
The cabinet has delayed the budget presentation for the fiscal year 2024-2025 as the country grapples with an intense economic crisis worsened by the ongoing conflict in neighbouring Sudan.
South Sudan is governed by a transitional government created after a 2018 peace agreement between President Salva Kiir, opposition leader Riek Machar and other political figures.