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AfDB urges South Sudan to diversify economy to withstand external shocks
['Associate Editor']
Radio Tamazuj
The African Development Bank (AfDB) has urged South Sudan to accelerate efforts to diversify its economy beyond oil, warning that continued dependence on crude exports leaves the country highly vulnerable to regional conflicts, climate shocks and fluctuations in global oil markets.
“Our projection is that GDP growth will increase by 22 percent in 2026 and stabilize at around 4.8 percent in 2027, assuming stability prevails in South Sudan, Sudan and the wider Red Sea region so that the country can continue exporting oil and restore macroeconomic stability,” said Hoth Chany, the AfDB’s country economist for South Sudan.
“The global economic order is fragmenting, and geopolitical dynamics are reshaping trade, global supply chains and capital flows,” Urama said.
South Sudan must broaden and diversify its sources of development financing to build a more resilient, inclusive and sustainable economy,” Haji said.
Haji said the AfDB currently has an active portfolio of 26 projects worth more than 300 million U.S. dollars in South Sudan, focusing on agriculture, energy, water and sanitation, governance, social services and financial sector development.