By Bida Elly David<\/p>\n
<\/p>\n
South Sudanese Pound (SSP) has fallen to a record low against the US Dollar (USD) in the foreign exchange market, causing a rapid rise in commodity prices.<\/em><\/strong><\/p>\n As of Tuesday, No.1 Citizen Daily Newspaper established that USD 1 is selling for SSP 2,000 and buying for SSP 2,050 in the parallel market.<\/p>\n While the Central Bank stands between SSP 1,605 and SSP 1,557 per dollar.<\/p>\n Amidst this worsening crisis, Dr. James Alic Garang, the Governor of the Central Bank, stressed the importance of boosting production to stabilize the economy.<\/p>\n He emphasized the need to increase production for both domestic consumption and export.<\/p>\n “We need to produce enough to sell and consume,” he stated.<\/p>\n However, senior economic analyst Abraham Malieth criticized the Central Bank’s practice of auctioning hard currency, which he believes contributes to hyperinflation.<\/p>\n Malieth argues that for a normal system where hard currency flows through the Central Bank and commercial banks, facilitating bank-to-bank trading and better control of cash flow.<\/p>\n “This controlled auctioning hides the true situation,” he argued. “Even if we inject billions of dollars, it will end up in the hands of a few.”<\/p>\n “We need a normal system where hard currency flows through the Central Bank and commercial banks,” he explained.<\/p>\n “This would involve introducing a mechanism to control cash flow and facilitate bank-to-bank trading.”<\/p>\n He called on the government to provide farmers with tools and a secure environment to engage in production.<\/p>\n “We need to use this income to buy farming tools and promote agriculture to strengthen our currency,” Malieth remarked.<\/p>\n He challenged the government to manage oil revenues effectively.<\/p>\n “Production is important, but we need the tools to produce. The government should also ensure a secure environment for South Sudanese to engage in production, which will ultimately strengthen the currency” he emphasized.<\/p>\n Malieth argued that the government, not the Central Bank, is responsible for promoting production.<\/p>\n “The Ministry of Finance, Ministry of Trade, Ministry of Agriculture, and other development institutions are responsible for production initiatives,” he said.<\/p>\n The Central Bank manages the money produced by the government and others, not agricultural production, he added.<\/p>\n While economic experts and policy analysts have expressed mixed opinions on the current economic situation, some have advocated for government intervention to regulate the exchange rate and mitigate market shocks.<\/p>\n However, Abraham Matoch, another economic expert, warns about the risks associated with a black market controlled by monopolists and free-will traders, emphasizing the need for a centralized market.<\/p>\n He believes the lack of a centralized market presents a significant risk to the country\u2019s economy.<\/p>\n <\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" By Bida Elly David South Sudanese Pound (SSP) has fallen to a record low against the US Dollar (USD) in the foreign exchange market, causing a rapid rise in commodity prices. As of Tuesday, No.1 Citizen Daily Newspaper established that USD 1 is selling for SSP 2,000 and buying[Read More…]<\/a><\/p>\n","protected":false},"author":4,"featured_media":23081,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[80,79],"tags":[],"class_list":["post-23080","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-national","category-news"],"jetpack_featured_media_url":"https:\/\/www.onecitizendaily.com\/wp-content\/uploads\/2024\/03\/Bank-notes-of-500-South-Sudanese-Pounds-1.jpg","_links":{"self":[{"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/posts\/23080","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/comments?post=23080"}],"version-history":[{"count":1,"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/posts\/23080\/revisions"}],"predecessor-version":[{"id":23082,"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/posts\/23080\/revisions\/23082"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/media\/23081"}],"wp:attachment":[{"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/media?parent=23080"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/categories?post=23080"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.onecitizendaily.com\/index.php\/wp-json\/wp\/v2\/tags?post=23080"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}