If the Central Bank’s auctioning is failing, what next?
If the government believes that the use of the dollar by the bank of South Sudan to stabilize and maintain the dollar rate in the market as a short-term solution will bring the already worrying economic crisis to a better and more manageable state, they should do it really fast.
Offering short-term solutions are not as bad as offering none at all; the English say that having half a loaf is better than none at all. However, for a people like mine; South Sudan even when the US Dollar rate is brought to a stable and favourable rate for the people, the prices of goods and transport fare will most likely not come to favourable ones. In 2020 during the partial lockdowns, transport fare rose by 50 SSP for the taxis and 100 SSP for the boda-bodas so from Shari betari to Custom it was 150 SSP by taxi which was still until 2 weeks ago when it shot up to 200 SSP and now 400 SSP and for worst case scenario can rise to 500 SSP the next morning as the government is still betting on the best way to stabilize and maintain the market dollar rate.
In 2020 when 100 US Dollar was at 80,000 SSP, the government by then did regular auctioning of the currency among the solutions to lower the then high exchange; which worked at that time but it is in 2022 that it has become quite a different circumstance hence the auctioning game by the Central Bank is not applicable. So, government what next?