JUBA — South Sudan’s minister of finance and planning, Kuol Daniel Ayulo, on Tuesday presented a proposed draft budget of financial year 2026-2027, amounting to SSP 11.34 trillion before the Transitional National Legislature amid an economic crisis and preparations for the December 2026 general elections.
Speaking during the tabling of the draft budget on Tuesday, Finance Minister Kuol said nearly 80 percent of the projected revenue is expected to come from oil and non-oil revenue sources.
According to the proposal, oil revenues are expected to generate SSP 9.01 trillion, making up the largest share of government income, while non-oil revenue sources are expected to contribute SSP 2.32 trillion.
“The proposed resource envelope for fiscal year 2026/2027 amounts to SSP 11.34 trillion. The budget shall be financed through domestic revenues comprising oil and non-oil sources of the total project revenues,” Kuol said.
“Oil revenue is estimated at SSP 9.01 trillion, representing approximately 79.5 percent of total revenue. Non-oil revenue is projected at SSP 2.32 trillion, representing approximately 20.5 percent of total revenue.”
Kuol said the 2026-2027 budget came at a time when the country is grappling with economic meltdown while also preparing for upcoming December elections.
“The government shall continue implementing measures aimed at broadening the domestic tax base, including digitalization of tax collection, strengthening revenue administration, and reducing dependence on oil revenue.”
Kuol said the ministry allocated SSP 183.99 billion to support pre-election activities and the general elections scheduled for December 22, 2026.
Kuol said the projected expenditure estimates include SSP 1.43 trillion for wages and salaries, SSP 1.33 trillion for goods and services, and SSP 2.71 trillion for capital expenditure.
He said other expenditure allocations include SSP 2.71 trillion for mandatory payments, SSP 933.4 billion for transfers and grants, SSP 63.33 million for subsidies, and SSP 2.160 trillion for loan repayments.
The minister said SSP 933 billion has been allocated for transfers and grants, including state and administrative-block, county, and conditional transfers.
Kuol said SSP 2 trillion has been allocated for capital expenditure, including oil-related infrastructure and other capital obligations.
He said the government will continue making payments to Sudan, with SSP 1 trillion earmarked for oil-producing states, SSP 156 billion for oil-producing communities, and SSP 234 billion for the Ministry of Petroleum.
Kuol said the budget also provides SSP 2 billion for the repayment of outstanding domestic and international loans, including interest, while SSP 500 billion has been earmarked for the recapitalization of the Bank of South Sudan.
The minister said SSP 244.3 billion has been allocated to accountability institutions, including the Audit Chamber, National Bureau of Statistics, and Anti-Corruption Commission.
According to Kuol, SSP 508.8 billion has been allocated to the functional sector, while SSP 513 billion is earmarked for education.
He said SSP 371.1 billion has been allocated to the health sector, while SSP 1.187 trillion is earmarked for infrastructure development.
Kuol said SSP 406 billion has been allocated to natural resources and SSP 927.4 billion to public administration.
Meanwhile, SSP 721.1 billion has been earmarked for the rule of law, while SSP 710.89 billion has been allocated to the security sector.
The minister said SSP 17.74 billion has been allocated to social and humanitarian affairs, while SSP 5.728 trillion is set aside for other payments.
Joseph Ngere Paciko, Speaker of the Transitional National Legislative Assembly, referred the budget to the standing specialized committees of both houses of parliament for review.
The committees have been given one week to scrutinize the budgets of government spending agencies and submit their findings to their respective parliamentary clusters.
Under the parliamentary timetable, the clusters will forward their reports to the Economic Cluster within two weeks.
He said the Economic Cluster will then have 21 days to present a second-reading report to the legislature.
