By Africa Links 24
Published on 2024-03-04 09:31:45
South Sudan has experienced significant benefits from its membership in the East African Community, particularly in terms of trade growth. By being part of this regional grouping, South Sudan has gained access to tariff-free trade within the region and has seen barriers to the free movement of people, services, capital, and assets removed. This has created opportunities for economic growth and development within the country.
One key development in facilitating trade is the establishment of several one-stop border posts between Uganda and South Sudan. The first post, located at Nimule approximately 200km from Juba, has already been opened, streamlining trade processes and making it easier for goods to move between the two countries. This has helped to boost trade through ports such as Mombasa, although South Sudan also exports goods through Djibouti to other markets.
In terms of investment, South Sudan is beginning to see increased interest from investors now that the political situation has stabilized. The country has already benefited from investment in the oil industry, with exports going to destinations such as the European Union and China. Efforts are also being made to develop local industries, with success stories such as the honey industry, which has built a value chain and now exports products beyond the African continent. Additionally, fish is another important export, primarily to neighboring countries in the region.
South Sudan has identified various growth areas that have the potential to drive economic development. Agriculture is a significant contributor to the economy, with 80% of the population employed in this sector. The country also boasts 14 national parks and holds mineral resources such as gold, silver, and diamonds. Plans for increased energy generation, including the construction of hydropower plants along the River Nile, are expected to further support economic growth and development in South Sudan.
In conclusion, South Sudan’s membership in the East African Community has opened up new opportunities for the country to grow and develop its economy. Through enhanced trade relationships, increased investment, and the development of key industries, South Sudan is well-positioned to continue its path towards sustainable economic growth. By capitalizing on its natural resources and leveraging its strategic location within the region, South Sudan is poised to attract further investment and foster continued economic expansion in the years to come.
