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President Salva Kiir Mayardit has directed state governors and the heads of the three administrative areas to enhance efforts to increase local revenues to support the economy, particularly as oil production faces significant challenges due to the ongoing war in Sudan.
In his remarks at the conclusion of the Eighth Governors’ Forum in Juba, President Kiir urged state leaders to become more self-reliant and not rely solely on oil revenues, as this sector has become increasingly unstable due to regional instability. He stated, “States and administrative areas must find ways to increase local revenue, create job opportunities for the youth, and meet some basic needs of the states or administrative areas.”
President Kiir emphasized that the national government should focus on empowering states and administrative areas by implementing projects that local governments cannot finance on their own.
He noted that the country is facing challenges due to disruptions in oil production, which previously generated substantial revenues. This necessitates that leaders effectively and efficiently concentrate on generating local revenues. The President acknowledged that the interruption of key oil fields has negatively impacted the national economy.
“Our economy is struggling; the oil field in Paloch, which serves as the largest revenue source for the national government, is facing a dual crisis,” he said.
Kiir called on the warring parties in Sudan to allow the smooth flow of resources to ensure the effective resumption of oil production. He added, “I am fully engaged with our brothers in Sudan to facilitate access for engineers and the flow of resources to the oil fields.”
President Kiir underscored the importance of continued efforts by the relevant institutions to ensure the resumption of oil production to support the economy.
He also highlighted that interruptions in oil production have led to delays in salary payments and service delivery. He urged governors and administrative leaders to implement the resolutions made during the Eighth Governors’ Forum, stating, “I call on all of us to work collectively at the national, state, and administrative levels to implement the resolutions of the Eighth Governors’ Forum. We must achieve tangible results before the next forum convenes.”
In a report published by the Citizen Number One English-language online newspaper, First Vice President Dr. Riek Machar acknowledged the intense discussions about delayed salaries, emphasizing the need to pay the government workforce. He further stressed the importance of establishing a mechanism to implement the forum’s resolutions and recommendations.
Earlier this year, President Kiir tasked Minister of Finance Dr. Marial Dongrin Ater with the responsibility of boosting non-oil revenues.
During the swearing-in ceremony, President Kiir expressed concern over employees going without salaries for months. He noted that non-oil revenues collected in the country are sufficient to cover government expenses, including employee salaries. The President directed Minister Ater to establish a unified account for all revenues and take measures to address corruption within the non-oil revenue sector
