Final Project submitted in part fulfillment of the requirement for successful completion of training in Financing for Development - unlocking the investment opportunities -Development Specialist Track, March to April 2017.
Submitted by John Bosco Kintu Kavuma, Chartered Economist
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Final project jb kavuma_south sudan
1. Deepening humanitarian and emergency aid and paving way for new generation post-conflict
reconstruction, recovery and development assistance to South Sudan
1. Introduction and background
The Republic of South Sudan became the world’s newest nation and Africa’s 55th country on July 9,
2011, following a peaceful secession from the Sudan through a referendum in January 2011. The
country with an estimated population of 11million people (2011) and projected to have reached
13millionin2017. It islocatedinAfricaand is borderingwithUganda andDR Congointhe South,Central
African Republic in the West, Sudan in the North, and Ethiopia in the East.
It was all jubilationswhen country got independence from Sudan on 9 July 2011. The creation of South
Sudan as an independent nation brought lots of hope as it symbolized the end of decade’s long civil
strife between the feuding South and North Sudanese. However, just within three years’ of its
formation disagreements erupted between the President Salva Kiir Mayardit and his vice Riek Marcha
whichlaterdegeneratedintotribal crashesbetweenthe DinkaandNuertribes. The civil warhas dipped
the country’seconomy,pushedmanypeople have been into exile and left a score of people dead. The
worseningriskperceptionof country’seconomyisleadingtoflightof capital awayfromSouthernSudan,
leavingthe countrywith anaverage harmonizedCPIA of 1.92 condemningthe countryinthe lowest10%
of poorly performing fragile states.
SouthSudanand neighboringcountries SouthSudanMap withkeyregionsandfeatures
2. Whilstthe peace talks and other activities of the international community has helped to restore some
peace and tranquility, capital flow from private sector is still very low due to persistent risk index and
development assistance (aid) has also dipped. The increasing number of internally displaced persons
estimatedat1.6 million(outof the world’s38.2millionIDPsin2014) andthe biting famine partly driven
by the civil war and also as a result of climate change, places the country in situation of dare need for
humanitarian and emergency aid.
Internallydisplacedpersons(IDPs) –twoyears
later
JubilatingcrowdswhenSouthSudanwasjust
created
Refugeesontrekfleeingcivil warin2015
Peace keepersinSouthSudan
3. 2. The need for deepening humanitarian and emergency aid
According to the Integrated Food Security Phase Classification (IPC) update released today by the
government, the three agencies and other humanitarian partners, 4.9 million people - more than 40
percentof South Sudan's population - are in need of urgent food, agriculture and nutrition assistance.
The total number of food insecure people is expected to rise to 5.5 million at the height of the lean
season in July if nothing is done to curb the severity and spread of the food crisis.
The humanitarian relief and emergency aid is needed to cover basic needs such as food, clothes and
drugs and other essentials. The organizations such as UNICEF has already published call for support to
be able to reach out to estimated 5.8 million kids whose lives and futures are in total jeopardy.
https://www.unicefusa.org/donate/support-south-sudans-
children/16206?utm_campaign=2017_misc&utm_medium=cpc&utm_source=20171122_Bing&utm_con
tent=Sudan&ms=cpc_dig_2017_misc_20171122_Bing_Sudan&initialms=cpc_dig_2017_misc_20171122_
Bing_Sudan&utm_term=%2Bsouth%20%2Bsudan%20%2B%20help
The humanitarianandemergencyaidhasa unique characteristicof drawingattention and support from
a multiplicityof partners includingindividualdonors,charities,philanthropists,bilateral andmultilateral
aidpartners.The private sectorplaysakeyrole especiallyin transportation, storage and distribution of
aid resources.
The humanitarianandemergencyaid should however, be supplied for a limited time in order to avoid
degradingintoanentitlementsyndrome.In particular, famine struck populations should be supported
to enter into farming immediately the rains come or the new season begins.
“Famine has become a tragic reality in parts of South Sudan”
20 February 2017 – Famine has been formally declared in parts
of South Sudan, the United Nations said today, warning that war
and a collapsing economy have left some 100,000 people facing
starvation there and a further one million people are classified as
being on the brink of famine.
Joint news release issued by FAO, UNICEF and WFP
http://www.un.org/apps/news/story.asp?NewsID=56205#.WOSw
bqKMf1U
4. 3. The case for the new generation post conflict recovery, reconstruction and development
Upon itsformationin2012, South Sudanattractedtremendouscapital flow fromprivate sector,bilateral
and multilateral donors geared towards post conflict recovery, reconstruction and development. The
private capital flows such as foreign direct investment (FDI) and technical assistance; as well as
development assistance (International Development Assistance –IDA).
However,when the country sprung into civil war again in 2014, most enterprises collapsed and capital
flewoutof the country.In addition,flowof developmentassistancetomajorinfrastructure investments
and social developmentinitiativeswascurtailed. Assuch,SouthSudanstill exhibitssome of the poorest
economic and social indicators. The country’s growth domestic product (GDP) per capita in 2014 was
$1,111. Outside the oil sector, livelihoods are concentrated in low productive, unpaid agriculture and
pastoralistswork,accountingforaround15% of GDP. Infact, 85% of the working population is engaged
in non-wage work, chiefly in agriculture (78%).
http://www.worldbank.org/en/country/southsudan/overview
As the war recedesthere willbe newgenerationpostconflictrecovery,reconstructionanddevelopment
assistance. Basedonlessons learnt from the reigning conflicts, South Sudan is fragile state whose risk
perception index will remain higher than average for developing countries making the country less
attractive to investment. This calls for the need for innovative financing arrangements such as
investment guarantees/assurances, emergency assistance and catalytic aid to help direct private
investment in hitherto risky interventions. .
4. Conclusion
In nutshell, the African leaders should not only appreciate the unique socio-cultural and geopolitical
landscape forSouthSudanbut alsobuilddifferentscenarioregardingthisfragile state.Inthe shortterm,
Destroyedfacilities/property
Example of new infrastructure requirements
5. developmentfocusshouldbe devotedtohumanitarianandemergencyaidto address the current crises
arisingfromtwinevilsof displacementandprolongeddrought/famine. While in the medium term, the
priority will drift to new generation post conflict recovery, reconstruction and development blending
private financing, bilateral and multilateral donors.