EU Ambassador to South Sudan Timo Olkkonen (grey suits/from left), World Bank Country Manager for South Sudan Firas Raad (middle) and Tomas Brundin, the Head of the Embassy of Sweden’s Office in South Sudan at a press conference in Juba. January 30, 2023. (Photo: Obaj Okuj).

The European Union and Sweden on Monday pledged to allocate a 6.1 million US dollars in funding to the newly established South Sudan Multi-Donor Transition Trust Fund.

The EU avails 3.2 million dollars while Sweden’s contribution is 2.9 million dollars.

The transition trust fund to be administered by the World Bank seeks to provide targeted funding for critical capacity-building in key government institutions.

It is also intended to help create an enabling environment for inclusive economic growth in South Sudan.

The project activities include promoting policy reforms, financial inclusion, private investment, strategic public planning, women’s economic empowerment, and investments in human development.

According to the World Bank in South Sudan, the programs will strengthen the capacity, transparency, and accountability of government systems at all levels and build greater civilian and private sector confidence in the capacity of the state.

Speaking after the signing Ceremony in Juba on Monday morning, EU Ambassador to South Sudan Timo Olkkonen said the country is at a particular point juncture to strengthen the social contract with the citizens.

He hopes that the program will enable the government to mobilize and allocate more of its own resources toward key sectors including health and education.

“We sincerely hope this program will enable the government to mobilize and allocate more of its own resources towards key sectors benefiting the population – such as health and education – and that these resources will be managed efficiently and responsively,” said Olkkonen.

“South Sudan is now at a pivotal juncture in its transition process, and it is crucial that it steps up reforms to strengthen governance and institutions, improve service delivery and strengthen the social contract in the country.”

Meanwhile, Tomas Brundin, the Head of the Embassy of Sweden’s Office in South Sudan says his country’s contribution represents a serious effort to help South Sudan get to the right place by enhancing economic reforms.

“Sweden’s contribution of around USD 2.9 million represents a serious effort to help South Sudan get to the right place; by enhancing the government’s responsibility for service delivery, improving public financial accountability, and promoting progressive economic reforms that together will contribute to sustainable and economic development in line with the peace agreement.”

On his part, World Bank Country Manager for South Sudan Firas Raad expressed gratitude to the partners for their strong commitment to the transition trust fund.

“We hope that this new World Bank-administered Multi-Donor Trust Fund will help catalyze change in South Sudan –by enhancing public sector effectiveness and by helping to build an enabling environment for growth, job creation, and poverty reduction,” he said.

Raad believes that with the support, the World Bank could help advance the development agenda for South Sudan.