popular articles

Pipeline rupture: South Sudan faces major economic crisis

South Sudan is facing a severe economic crisis following the rupture of a pipeline crucial to its oil exports. This situation accentuates inflation and plunges the population into growing insecurity.
Crise économique Soudan du Sud

Please share:

Since the rupture of a pipeline in February 2024, South Sudan, 90% dependent on its oil exports, has been experiencing an acute economic crisis. The pipeline, vital for transporting crude oil abroad, was damaged during the conflicts in Sudan, depriving the country of its main foreign exchange earnings. Moreover,oil supplies were already threatened in April 2023 by the current conflict.
The immediate consequence was a surge in inflation, coupled with the collapse of the South Sudanese pound. In the space of a few months, the exchange rate rose from 1,100 pounds to the dollar in February to 1,550 in July, worsening the economic situation of the population.

Daily life under pressure

Galiche Buwa, a 75-year-old widow, struggles to keep her grocery store afloat in the Konyo-Konyo market in the capital Juba. The drastic rise in prices has reduced her purchasing power and forced her to go into debt to buy supplies. This situation has repercussions for consumers, who have seen the price of basic foodstuffs such as corn soar from 800 to 2,000 pounds in just a few months.
Teddy Aweye, a mother of two, is a good example of how difficult it is to access basic necessities. Daily price fluctuations are forcing many people to forego essential purchases, exacerbating food insecurity in the country.

Effects on the small business sector

Abdulwahab Okwaki, a 61-year-old butcher, has noticed a marked drop in sales at his shop. Customers, hit by the crisis, are buying smaller quantities of meat, and many of his colleagues have already given up the business. Small businesses, like that of fashion entrepreneur Harriet Gune, are also feeling the pinch. The price rises needed to maintain inventories drive customers away, creating a vicious circle of rising costs and falling sales.

Impact on public finances

Government authorities are also feeling the effects of the crisis. In May, Awow Daniel Chuang, Minister of Finance, warned of the state’s inability to pay the salaries of the military, police and civil servants, due to a budget deficit caused by the loss of 70% of oil revenues. This situation further exposes the country to corruption and mismanagement of resources, chronic problems in South Sudan.

Anticipating future crises

South Sudan, which has been independent since 2011, urgently needs to diversify its energy infrastructure so that it is no longer solely dependent on the oil pipeline running through Sudan. According to economist and government advisor Abraham Maliet Mamer, the construction of refineries and pipelines via other countries could offer a lasting solution to this economic vulnerability. He stresses the importance of anticipating crises in order to stabilize the economy and improve living conditions for South Sudanese.
The conflict in Sudan, which has been going on since April 2023, has not only disrupted the oil infrastructure but also displaced millions of people, including over 700,000 refugees in South Sudan. This humanitarian crisis further exacerbates the country’s economic and social precariousness.

Register free of charge for uninterrupted access.

Publicite

Recently published in

France proposes a stronger alliance between the European Union and China to counter the absence of the United States in the fight against climate change, with a summit scheduled for July 2025.
Hydro-Québec announces a 10 G$ investment to enhance energy efficiency through various initiatives by 2035, creating over 5,000 jobs and reducing operating costs for Quebec customers.
Hydro-Québec announces a 10 G$ investment to enhance energy efficiency through various initiatives by 2035, creating over 5,000 jobs and reducing operating costs for Quebec customers.
The UK government and Italian energy company Eni have announced the financial closing of a project aimed at burying millions of tonnes of CO2 in the Irish Sea, an ambitious initiative to reduce industrial emissions.
The UK government and Italian energy company Eni have announced the financial closing of a project aimed at burying millions of tonnes of CO2 in the Irish Sea, an ambitious initiative to reduce industrial emissions.
The United States strongly criticised anti-fossil fuel policies at the International Energy Agency (IEA) summit, highlighting their dangers to global energy security.
The United States strongly criticised anti-fossil fuel policies at the International Energy Agency (IEA) summit, highlighting their dangers to global energy security.
Countries such as Brazil and Australia are criticised for overstating the CO2 absorption capacity of their forests, a practice that undermines their commitment to reducing greenhouse gas emissions, according to a report by Climate Analytics.
In London, global officials gather to discuss energy security amid rising geopolitical tensions. Disagreements persist on the role of renewable energy in meeting global demand.
In London, global officials gather to discuss energy security amid rising geopolitical tensions. Disagreements persist on the role of renewable energy in meeting global demand.
As a parliamentary debate approaches, twenty energy organizations urge lawmakers to act to reduce France's reliance on fossil fuels by accelerating the electrification of uses.
As a parliamentary debate approaches, twenty energy organizations urge lawmakers to act to reduce France's reliance on fossil fuels by accelerating the electrification of uses.
Nigeria aims to increase its electricity production capacity by 4,000 MW by 2026 to meet the growing demand of the industrial sector, in a context of reforms and partnerships with international players.
Nigeria aims to increase its electricity production capacity by 4,000 MW by 2026 to meet the growing demand of the industrial sector, in a context of reforms and partnerships with international players.
EDF’s outgoing CEO, Luc Rémont, claims French electricity will be more competitive than that of the United States, despite ongoing criticisms from industrialists about high tariffs.
Donald Trump's aggressive trade policies and regulatory uncertainty in the United States are slowing investments in wind, solar, and energy storage, pushing the sector into a period of caution and market volatility.
Donald Trump's aggressive trade policies and regulatory uncertainty in the United States are slowing investments in wind, solar, and energy storage, pushing the sector into a period of caution and market volatility.
The French government activates five funding mechanisms to support industrial decarbonisation projects through the France 2030 plan, targeting major sites, SMEs and high-emission industrial zones.
The French government activates five funding mechanisms to support industrial decarbonisation projects through the France 2030 plan, targeting major sites, SMEs and high-emission industrial zones.
Paris releases a new €400mn funding package to support industrial projects aimed at reducing emissions under the France 2030 programme.
Paris releases a new €400mn funding package to support industrial projects aimed at reducing emissions under the France 2030 programme.
The massive withdrawal of American financial support and the reduction of European aid could jeopardize energy projects in Africa, profoundly altering their financing structure and the continent's commitments.
The Vietnamese government has raised its renewable energy targets in a new version of its national energy plan, responding to continued growth in electricity demand.
The Vietnamese government has raised its renewable energy targets in a new version of its national energy plan, responding to continued growth in electricity demand.
A massive outage plunged Puerto Rico into darkness on Wednesday, leaving approximately 1.1 million households without electricity after an unexpected shutdown of all its power plants.
A massive outage plunged Puerto Rico into darkness on Wednesday, leaving approximately 1.1 million households without electricity after an unexpected shutdown of all its power plants.
The Czech Republic has ended its dependency on Russian oil after more than six decades, a major shift made in response to Russia's invasion of Ukraine.
The Czech Republic has ended its dependency on Russian oil after more than six decades, a major shift made in response to Russia's invasion of Ukraine.
The European power purchase agreement (PPA) market for renewables reached 19 GW of new capacity in 2024, with growing momentum for hybrid contracts including storage.
Industry Minister Marc Ferracci criticised the Rassemblement National's stance on energy, accusing it of hindering planned investments in renewables in favour of fossil fuel imports.
Industry Minister Marc Ferracci criticised the Rassemblement National's stance on energy, accusing it of hindering planned investments in renewables in favour of fossil fuel imports.
Bill 69 sparks protests in Saint-Jean-sur-Richelieu, where several organisations denounce a risk of privatising Quebec’s electricity sector.
Bill 69 sparks protests in Saint-Jean-sur-Richelieu, where several organisations denounce a risk of privatising Quebec’s electricity sector.
Wind and solar energy accounted for nearly one-fifth of Türkiye’s electricity generation in 2024, according to an analysis by think tank Ember, driven by a strong increase in installed capacity.
Wind and solar energy accounted for nearly one-fifth of Türkiye’s electricity generation in 2024, according to an analysis by think tank Ember, driven by a strong increase in installed capacity.
France’s multi-year energy strategy shifts focus away from photovoltaics toward flexibility measures, including battery storage, to address growing imbalances in the electricity market.
France’s energy regulator unveils its first observatory dedicated to renewable electricity purchase agreements, highlighting a recent but still marginal growth compared to State-backed mechanisms.
France’s energy regulator unveils its first observatory dedicated to renewable electricity purchase agreements, highlighting a recent but still marginal growth compared to State-backed mechanisms.
The French government plans to adopt within two weeks a decree outlining the decade’s energy objectives, restarting nuclear power and preparing for a parliamentary debate on energy sovereignty.
The French government plans to adopt within two weeks a decree outlining the decade’s energy objectives, restarting nuclear power and preparing for a parliamentary debate on energy sovereignty.
The expansion of solar and wind capacity is multiplying hours of negative prices on European electricity markets, weakening the sector's economic balance while reshaping export and storage dynamics.
The expansion of solar and wind capacity is multiplying hours of negative prices on European electricity markets, weakening the sector's economic balance while reshaping export and storage dynamics.

Advertising