Dollar hits 650 as South Sudan currency depreciates further

JUBA – Traders in South Sudan’s capital Juba are telling Sudans Post that the US Dollar and South Sudanese Pound (SSP) exchange rate recorded a new high on the parallel forex market yesterday, with 1 dollar reaching 650SSP, compared to 600SSP during the end of last week.

South Sudan’s economy has recently witnessed the continued collapse of the strength of its Pound against foreign currencies which has sparked increase in prices of basic services price.

“One United States Dollar is 650 South Sudanese pound as of this evening and the prices of the basic goods have shot up,” one trader who requested to be named told Sudans Post on Monday evening.

RUSSIAN INVASION OF UKRAINE

Makur last month warned of tough times ahead for South Sudan’s economy and blamed the ongoing Russian invasion of Ukraine for it.

“The war in Ukraine has been a major shock for global commodity markets. South Sudan’s oil revenues are increasing and the country is not directly dependent on imports of grain from Ukraine and Russia,” Makur said in a statement seen by Sudans Post at the time.

“But we are still seeing rising prices of refined petroleum products and food items which are imported from our regional countries. These developments are expected to contribute to a rise in inflation in the coming months,” he added.

He said the bank was “taking steps to reduce the impact of higher prices on people’s livelihoods. As of this week, the Ministry of Finance and Planning has begun to clear salary arrears, which will help increase households’ purchasing power.”