South Sudan: Too Much At Stake for Govt to Expel Foreign Workers

analysis

On Tuesday, 16 September, the government of South Sudan ordered all non-governmental organisations, private companies, banks, insurance, telecommunication and petroleum companies, hotels and lodges to notify all foreign employees to cease working by 15 October.

It said the resulting vacancies, ranging from receptionists to company directors, should be filled by government-vetted South Sudanese nationals. However, on Wednesday 17 September, the country reversed its decision after intense lobbying by diplomats.

South Sudan emerged from the longest and most destructive war in African history, which left over two million people dead and more than four million displaced.

Decades of war continue to affect the new nation significantly, especially in human resource development. Despite significant efforts since the signing of the Comprehensive Peace Agreement (CPA) in 2005, South Sudan continues to have some of the worst development indicators on the continent, in spite of its abundant natural resources. This is largely due to protracted conflict.

The country's economy is entirely dependent on oil: on average, 98,7% of total government revenue has been derived from oil since 2005. According to the South Sudan Development Plan, education and health indicators are among the lowest in the world, reflecting the impact of ongoing conflict and limited provision of social services. Only 27% of the entire population is literate, compared with 87% in Kenya, and less than half of all primary school-age children are in school (51% of boys and 37% of girls).

Trade in South Sudan has been highly localised and predominantly sourced from neighbouring countries. The local manufacturing sector is relatively insignificant, with very little agricultural produce and livestock being generated and raised for export. In essence, South Sudan is a net importer of goods and services and suffers from a major shortage of skilled workers.

The move to expel foreign workers came at a time when South Sudan, Kenya and Ethiopia are partnering in a mega transport project, the Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) Corridor. The ban, which covered all foreigners, was seen as mostly targeting Kenyans, since more than 70% of foreign workers in South Sudan are believed to be from Kenya.

Corruption has also heavily affected the young nation. Since 2005, after the CPA, the government has lost significant amounts of public funds to corrupt officials; money that should have been invested locally to create employment opportunities. In 2012, President Salva Kiir said that Sudanese officials stole an estimated US$4 billion of public money, which could not be accounted for.

With only a quarter of the adult population being literate, it is clear that the country does not have sufficient manpower to support the private and the aid sector. Neighbouring countries have continued to offer support to South Sudan to build the capacity of local human resources, and to offer hands-on job training to civil servants, aid workers and others.

After the current crisis, which started in mid-December 2013, several foreign workers have left the country. Despite noble concerns of unemployment, expelling more workers will only be detrimental to the word's youngest nation.

According to a Kenyan daily, the Nation newspaper, the country has backtracked on the issue three times now in under three years. Two previous decisions were called off, also after criticism from international community. There are thousands of skilled workers and investors in South Sudan, but the country does not have labour laws to guide employment as it relies on Khartoum labour law.