South Sudan's economy to grow by 5 pct in 2019: central bank

JUBA, July 19 (Xinhua) -- South Sudan's gross domestic product (GDP) is projected to grow by five percent in 2019 following years of contraction, the country's central bank said Friday.

Dier Tong Ngor, governor of the Bank of South Sudan, said the growth is driven by relative stability brought about by the September 2018 peace deal and increase in global oil prices.

Ngor also attributed the positive trend to strict monetary policies that helped reduce inflation and a staggering exchange rate.

"With these developments in the general macroeconomic environment in the country, the improvements in the real sector of the economy and the signs of monetary sector stability, the Bank of South Sudan projects the GDP growth to reach five percent by the end of 2019," he told journalists in Juba.

Ngor said the latest projections indicate that the country is recovering from the devastating effects of civil war.

"We have number of years where our GDP has been negative, but if there is improvement in the agriculture sector, there will be more investment coming and there will be income distribution, "Ngor said.

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 GDP, according to the World Bank.

But after the young nation descended into civil war in late 2013, oil production declined from 350,000 barrels per day in 2011 to less than 130,000 barrels per day amid soaring inflation and economic crisis. Enditem