World Bank Logo

The World Bank has approved 34 million US dollars for South Sudan to support a new five-year Public Financial Management and Institutional Strengthening Project in the country.

In a statement dated 4^th, March, 2022, the world financial institution said the project aims to advance public financial management reforms, strengthen key oversight institutions, and improve budget transparency and outcomes in the country.

The project will specifically improve the preparation of the national budget and its associated implementation processes.

Additionally, it said, the project will support the implementation of key Public Finance Management and governance reforms — as outlined in Chapter IV of the 2018 Revitalized Peace Agreement and its commitments under the International Monitoring Fund’s Staff Monitored Program.

World Bank Country Manager for South Sudan, Firas Raad said, quote “This project is consistent with the World Bank Group’s Country Engagement Note for South Sudan covering 2021-2023 which emphasizes the importance of building the country’s institutional capacity at both the national and local levels, fostering greater accountability and transparency in government institutions, and strengthening citizens’ confidence in the ability of the government to deliver essential services,” End quote.

According to the World Banks, this is the first World Bank-financed project since 2018 that will be fully implemented through government systems by the Ministry of Finance and Planning.

It is designed to strengthen capacity in central and state-level Public Finance Management agencies.

The components to the project include strengthening budget preparation processes, strengthening the transparency and predictability of budget implementation and procurement for priority spending areas.

Others include supporting institutions, capacity development and facilitating Public Finance reform and improving project management and learning.

For his part, Nicola Smithers, the World Bank Practice Manager for Governance in Eastern Africa said in addition to the stated objectives, “this project will help strengthen service delivery systems in key sectors.”

It will also enhance the capacity of civil servants working in PFM and procurement, and will reinforce channels of communication between the government and its citizens

With this latest grant, South Sudan’s national and state governments are expected to benefit from improvements in budget management across the country.

Meanwhile, the Minister of Finance and Planning Agak Achuil Lual said his ministry would to improve cash management processes, procurement system, and audit procedures.

By implementing these policies, Achuil hopes this will improve the efficiency of public spending, to enhance fiscal accountability, and to strengthen the channels of communication between the government and citizens.

According to him, implementing some of the critical Public Finance Management reforms are essential to reviving our economy and consolidating our internal peace process.

South Sudan has become one of world’s 74 poorest countries, 39 of which are in Africa, to benefit from the World Bank’s International Development Association (IDA).

Established in 1960, the institution helps the world’s poorest countries by providing grants and low to zero-interest loans for projects and programs that boost economic growth, reduce poverty, and improve poor people’s lives.