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    1.0.32

    South Sudan Purges Finance Minister, Oil Firm Chief

    Brian
    By Brian Nzomo
    - July 12, 2024
    - July 12, 2024
    East-AfricanPublic Policy
    South Sudan Purges Finance Minister, Oil Firm Chief

    The President of South Sudan, Salva Kiir, fired his finance minister Awow Daniel Chuang and replaced him with Dr. Marial Dongrin Ater amidst budgetary delays and unpaid salaries. 

    • •Awow Daniel Chuang follows a list of five short-lived finance ministers who have been appointed and sacked in succession since 2020.
    • •Awow was appointed in March this year to replace Bak Barnaba Chol, who was sacked in a similar manner.
    • •The President appointed Dr. Ater, an economist by profession, as the new finance minister mandated to steer the country’s economy.

    President Salva Kiir had appointed Awow Chuang, an engineer by profession, as Minister for Petroleum in August 2023 before moving him to the Finance docket. In that presidential address, the President also made changes in the state-owned oil firm known as Nile Petroleum Corporation (NilePet).

    He demoted Bernard Amuor Makeny from his position as NilePet’s Managing Director, replacing him with Eng. Mohammed Lino Benjamin who was a technical advisor to the Ministry of Petroleum. The undersecretary in the Ministry of Petroleum, William Anyak Deng, was booted out and replaced with Chol Deng Abel.

    The Petroleum Ministry in the oil-dependent country is equally sensitive and interwoven with the Finance Ministry. Its operation, whether lethargic or satisfactory, determines whether the country will collect enough revenue for its expenditure.

    The Hot Seat

    In September 2020, President Salva Kiir fired Finance Minister, Salvatore Garang, who had served since February 2019. He later appointed Athian Ding Athian, who lost the position in November 2021.

    Agak Achuil Lual took over until he met the same fate in August 2022 after the nation’s currency depreciated. His replacement Dier Tong Ngor was shown the door seven months later in March 2023.

    Bak Barnaba Chol took the voyage between March 2023 and March this year but he was also incapable of handling the deep-seated challenges in the ministry, which handicapped fiscal stability and worsened the crisis. The prices of consumer goods skyrocketed by 22.5% by the end of his tenure, with the inflation rate sitting at 186%. The country’s Central Bank mentioned in May this that foreign reserves hit historic lows.

    Seemingly, Awow Daniel Chuang was equally unable to sow hope in the foggy situation facing the East African nation. Conflicts in Sudan have impaired oil exports from South Sudan, tanking revenue and worsening debt. South Sudan is yet to announce the budget, almost a month after other EAC members presented theirs in respective parliaments.

    The budgetary delays have dealt a blow to state agencies which were ordered to halt spending and payments, according to a notice earlier this month by the undersecretary in the Finance Ministry. Awow’s sacking has left the ministry in limbo as he had already presented a preliminary draft of the budget which sat at SSP 2.4 Trillion.

    It is not clear whether the new appointee, Dr. Marial Ater, will provide an alternative budget or undertake his predecessor’s estimates. The task ahead is enormous for him, as South Sudan grapples with an economic crisis amidst accusations that government appointments are often just for rewarding loyalty over merit.

    The Kenyan Wall Street

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