By Kidega Livingstone
Central Bank reveals its readiness to strengthen the South Sudanese Pounds by mobilizing sufficient foreign exchange to intervene in the market.
In a statement released yesterday, the Central Bank notes taking proactive measures to clear the outstanding auction claim, in a bid to rescue the economic hardship in the country.
Central Bank Governor, Dr. James Alice Garang said the Bank institute a monetary policy rate that strengthens the South Sudanese Pounds through a weekly auction of foreign exchange at a revised Bank’s reference rate.
He also stressed that the Bank will take necessary measures to promote transparency, enhance liquidity, maintain a fair and orderly market environment, and enhance regulatory oversight.
“By working closely with the Ministry of Finance and Planning and other government agencies to bolster effort aimed at fostering a resilient and competitive foreign exchange market for sustainable economic growth and development,” he said in the statement.
He stated that the Central Bank is closely monitoring the developments in the foreign exchange market, adding that they are coordinating with the Ministry of Finance and Planning to pay salaries for one month, beginning next week.
“We are also urging the public to adopt electronic payment system to lessen large amounts of cash sitting outside the banking system,” he said in the statement.
These interventions by the Central Bank reflect a proactive approach to addressing the economic challenges faced by South Sudan.
The measures aim to stabilize the South Sudanese Pound, promote economic growth, and ensure a robust financial system for the well-being of the nation.
This week, the South Sudanese Pound lost its value against the United States Dollar, with 1 dollar equivalent to 2,400 South Sudanese Pounds in the parallel market.