JUBA, Sept. 18 (Xinhua) -- South Sudan's increased oil output, if used effectively, could spur economic recovery and ease implementation of the recently signed peace deal, experts said on Thursday.
The experts said the South Sudan's plan to raise oil production would help bring in much-needed funds to revive the country's shattered economy and run the activities of the expanded power-sharing government.
Marial Awou Yol, head of the College of Social and Economic Studies at the University of Juba, said if the war-torn country can resume oil production in full speed, it can help relieve the cash shortage burden on the government and in turn stabilize the economy.
"Our economy is thirsty of resources, we can't import food now. We can't supply foreign reserves. We need production of oil to go as far as 350,000 (barrels per day). If we do that, we can be able to rejuvenate the economy and we will have enough resources to implement peace," the senior economist told Xinhua in Juba.
Leaders of South Sudan's warring parties on last week signed a "final" power-sharing deal in Ethiopia, aimed at ending a civil war that has killed tens of thousands of people and displaced more than 4 million both internally and externally since 2013.
In the deal, the peace partners are expected to form a new transitional unity government in the next eight months.
South Sudan is the most oil-dependent nation in the world, with oil accounting for almost the totality of exports, and around 60 percent of its gross domestic product (GDP), according to the World Bank.
But after the young nation descended into civil war in late 2013, oil production declined amid soaring inflation and economic crunch.
The East African nation recently reopened oilfields that were suspended during the war and it hopes to reach its previous daily output of 350,000 barrels in 2019, petroleum minister Ezekiel Lol Gatkuoth announced recently.
Political analyst James Okuk said oil money is key for setting up and sustaining the new unity government because most foreign donors are still hesitant to support the latest agreement after a similar one was shattered in July 2016.
Okuk said though there are provisions for economic and institutional reforms in the peace agreement, the parties must this time show absolute commitment to implement the deal and stem out corruption in the power-sharing government.
"It (oil) will benefit the country and sustain the peace agreement because it was war that drained our resources and forced us into crisis," Okuk said. "If this agreement is implemented in letter and spirit, it can fight corruption in the country."
Yol also agrees that corruption is a major issue that must be addressed during the three-year tenure of the power-sharing government.
"In the short history we have been a nation, we have been a corrupt nation and if we don't stem corruption out, it is not going to let us develop," Yol said.
"We should reform the institutions of the economy as well as the institutions of the government. This will encourage foreign investment in our country which we need most," he added.
Newer articles:
- South Sudanese surgeon awarded prestigious UNHCR refugee prize - 25/09/2018 10:16
- South Sudan government forces, rebels clash within weeks of peace deal - 25/09/2018 06:26
- 'STAGGERING BRUTALITY': South Sudan army burned civilians alive, ran them over with armoured vehicles during peace talks - 19/09/2018 05:54
- South Sudan Moves from Despair to Hope after New Peace Deal - 18/09/2018 13:53
- UN: S. Sudan Doing Little to Stop Rape, Sexual Violence - 18/09/2018 08:47
Older news items
- Opinion: South Sudan's new peace deal — will it hold? - 18/09/2018 04:08
- South Sudan’s Kiir says he talked with Machar to end recent clashes in Yei - 17/09/2018 21:55
- Human Rights Council hears plea for victims of ‘brutal’ sexual violence in South Sudan - 17/09/2018 13:49
- South Sudan arrests attacker on UN convoy in border town - 17/09/2018 08:54
- South Sudan downplays recent fighting with rebels - 17/09/2018 08:18
Latest news items (all categories):
- Corruption Perceptions Index 2024, South Sudan slides to bottom overtaking Somalia - 11/02/2025 11:17
- Vacancy Announcements - UNICEF South Sudan (11/02/2025) - 11/02/2025 10:49
- President Salva Kiir sacks two vice presidents and others in a decree today (10/02/2025) - 10/02/2025 19:36
- South Sudan parties adjourn talks in Kenya - 10/02/2025 16:24
- South Sudan becomes 22nd African country to be affected by mpox - 10/02/2025 16:21
Random articles (all categories):
- South Sudan to export 3 million barrels of oil in September - 15/08/2018 13:50
- Restaurateur's road led from South Sudan to Buffalo - NewYork - 16/11/2021 01:00
- South Sudan presses ahead with alternative pipelines study - Yahoo! News (blog) - 21/03/2013 14:15
- South Sudan prepares for papal visit - 19/01/2023 03:04
- South Sudan: Trade Resumes As Eabc Salutes Uganda, South Sudan for Escorting Truck Drivers to Juba - 15/04/2021 02:07
Popular articles:
- Who is the darkest person in the world, according to Guinness World Record? - 25/10/2022 02:34 - Read 70904 times
- No oil in troubled waters - 25/03/2014 15:02 - Read 22374 times
- School exam results in South Sudan show decline - 01/04/2012 17:58 - Read 21585 times
- Top 10 weakest currency exchange rates in Africa in 2023 - 19/07/2023 00:24 - Read 19362 times
- NDSU student from South Sudan receives scholarship - In-Forum - 29/09/2012 01:44 - Read 19232 times