Inside South Sudan’s economic recovery

South Sudan, a country heavily reliant on oil revenue which accounts for 90% of total revenue, is on a path towards economic diversification to break this dependence. Despite ongoing regional crises and instability, the government, led by Dr. James Alic Garang, the Governor of the Bank of South Sudan, is making strides towards modernizing the central bank and prioritizing sectors for diversification. In a recent interview with CNBC Africa, Dr. Garang highlighted the progress made in modernizing the bank, focusing on initiatives such as investing in staff, implementing a national payment system program, expanding branch networks, promoting mobile money systems, and working towards a national switch to track commercial bank activities. These efforts signify a significant step towards improving the national payment system and financial inclusivity in South Sudan. Dr. Garang emphasized the government's commitment to diversifying the economy away from oil. Agriculture has been singled out as a top priority, with investments being made to revitalize the sector, especially as the planting season approaches. Additionally, South Sudan's abundant natural resources, such as gold and rare minerals, are being targeted for economic diversification. The government is also focusing on investing in infrastructure, particularly the road network and water systems, to facilitate economic activities and enhance mobility. Furthermore, efforts are being made to explore the tourism sector as a potential revenue source, demonstrating a holistic approach to diversification. The conversation also touched on inflation, which has been on the rise in the East African Community (EEC). Dr. Garang stressed the importance of boosting regional ties to address economic challenges and mitigate the impact of inflation. By strengthening regional cooperation and exploring opportunities for collaboration, South Sudan aims to navigate through economic uncertainties and achieve long-term stability. As South Sudan continues its journey towards economic recovery and diversification, Dr. Garang's leadership at the central bank plays a pivotal role in driving these transformative initiatives. With a clear roadmap to reduce dependence on oil revenue, prioritize key sectors for diversification, and enhance regional partnerships, South Sudan stands poised to chart a new course towards sustainable economic growth and resilience.