Some South Sudanese have raised concerns about the rapidly increasing prices of commodities in the markets.

This is due to, they say, the sharp increase in the rate of the Pound against the US dollar on the parallel market, which they highly depend on, compared to the official rate.

Over the past week, the price of $100 increased from around 7,500, and is now selling at about 10,000 pounds.

Eye Radio followed up on the concerns of the citizens, and spoke to black market exchange dealers, who chose not to be named.

SSP hits new lows

“We are buying at 98; that is 9,800 pounds per $100, and we are selling it at 10,000. The actual reason is the high demand for dollars,” said a dealer who requested anonymity.

Meanwhile, citizens say the increase has made it difficult for them to access commodities in the markets, especially foodstuffs.

Living standard drops

“The rate is so high. For myself, as a person who works for the state, I earn very little salary, which is less than 1000 pounds,” Joseph (not real name) told Eye Radio.

“Nowadays I’ve forgotten everything; things like tea, lunch etc. I only afford one meal per day – supper.”

For a mister John, his living conditions are “very bad”.

He said: “I’m a businessman. I cannot afford bottled water anymore, because everything costs highly. I eat from restaurant, but now a plate of food costs 80 pounds yet I earn 300 pounds per day, and I’ve to pay 50 pounds as transport fee when coming [to work] in the morning and another 50 when going back home.”

Dollar scarcity during festive season

An economic analyst, Dr James Alic Garang, says the cause of the sharp increase in the rate of the US dollar against the pound is a combination of factors.

He told Eye Radio that this includes the approaching festive season.

“In my view, this is what has been continuing and it is getting deeper, and that is the overall lack of hard currency coming from the oil,” Dr Alic argued.

“The government has been receiving so little and with so many needs, and with salaries not even being paid.

“As a result, the few dollars that are around in the country are being chased after by those who want to buy them.

“So, it is these three: the Christmas, the expectation and the overall lack of hard currency.”

Dr Alic says among other measures, the government should urgently come out and reassure the public with hope for the future.

No new banknote denominations

Amid the weakening value of the pound, the Governor of the Central Bank, Kornelio Koriom, said there had been rumors that the bank intends to print more pounds with higher denominations of 200, 500 and 1,000.

Mr Koryom says the bank has no plans whatsoever to print new notes with higher denominations.

He describes the reports as “baseless” and “misleading”.

Addressing a press in Juba this morning, Mr Koriom said the bank is only injecting new notes into the market to replace the damaged ones and those that are worn out.

The Governor of the Bank, Kornellio Koriom, now says there is no intention to introduce new notes of higher denominations.

Mr Koriom says the rumors about introducing the new notes are evidently aimed at destabilizing the economy and create an unnecessary panic.

(Vox pops by Ray Okech; additional information by Obaj Okuj)