EU, Sweden inject $6 million into South Sudan Multi-Donor Transition Trust Fund

JUBA, JANUARY 30^th 2023 (SUDANS POST) – The European Union (EU) and Sweden on Monday inked a deal with World Bank Group injecting over $6 million into the newly established Multi-Donor Transition Trust Fund (MDTTF) for South Sudan.

The European Union contributed $3.2 million while Sweden injected $2.9 million into Multi-Donor Trust Fund, administered and managed by the World Bank.

The Trust Fund aims to provide funding for critical capacity-building in key government institutions and to help create an enabling environment for inclusive economic growth.

It also aims to serve as a platform for coherent policy dialogue between the government of South Sudan and development partners on core economic and governance reform priorities.

The Fund would as well help promote policy reforms, financial inclusion, private investment, core data collection, strategic public planning, women’s economic empowerment, and investments in human development.

Firas Raad, World Bank Group Country Manager for South Sudan, expressed gratitude to the partners for their strong commitment to the MDTTF.

“We hope that this new World Bank-administered Multi-Donor Trust Fund will help catalyze change in South Sudan –by enhancing public sector effectiveness and by helping to build an enabling environment for growth, job creation, and poverty reduction,” Raad said during a ceremony held in Juba on Monday.

Raad revealed that the overriding objective of the Trust Fund is to help the country transition to a new and more sustained phase of economic development.

“We know from prior experience in South Sudan that trust funds are not panaceas; however, with this targeted effort, we believe we can help advance the development agenda.’’

Timo Olkkonen, European Union Ambassador to South Sudan said the EU contribution aims to support a transition from a humanitarian to a more development-oriented approach.

“We sincerely hope this program will enable the government to mobilize and allocate more of its own resources towards key sectors benefiting the population – such as health and education – and that these resources will be managed efficiently and responsively,” said Olkkonen.

Olkkonen said the Trust Fund will help to step up reforms to strengthen governance and institutions, as well as improve service delivery and strengthen the social contract in the country.

“South Sudan is now at a pivotal juncture in its transition process, and it is crucial that it steps up reforms to strengthen governance and institutions, improve service delivery and strengthen the social contract in the country.”

Tomas Brundin, Head of the Embassy of Sweden’s Office in South Sudan, said the Trust Fund will enhance the government’s responsibility for service delivery in the country.

“Sweden’s contribution of around USD 2.9 million represents a serious effort to help South Sudan get to the right place,” said Brundin.

“Enhancing the government’s responsibility for service delivery, improving public financial accountability, and promoting progressive economic reforms that together will contribute to sustainable and economic development in line with the peace agreement.”