The International Monetary Fund says it is working on providing financial support to South Sudan under its Rapid Credit Facility program.

The RCF helps to finance governments facing immediate balance of payment problems.

A report issued yesterday states that the IMF could soon provide assistance to South Sudan under the program.

Since breaking away from Sudan in 2011, continued ethnic and political violence, tensions with Sudan and internal political instability have strained efforts to build the nation with revenues from its oil fields.

The IMF said the country’s economic outlook is improving, with oil production on the rise and inflation falling.

It praised the government’s newest budget proposal for fiscal year 2013-2014, as striking a good balance between increasing spending on priority areas and maintaining economic stability.