South Sudan President, Salva Kiir on Wednesday convened an emergency meeting to deal with the drastically fall in the country’s currency.
The South Sudan Pound fall against major currencies worsened last week when the Minister of Information, Michael Makuei made a controversial announcement that the country is going to change its currency to address the hyperinflation.
“H.E. Salva Kiir Mayardit, President of the Republic, called for an extraordinary meeting of the Council of Ministers to discuss the current Economic Crisis in the Country with particular focus on the hyperinflation rate in the market due to the announcement made by the Minister of Information and Communication, Michael Makuei Lueth mentioning a change of country’s Currency after the meeting of the previous Friday Cabinet meeting,” said part of a statement released by the presidency.
Kiir has distanced himself from the announcement made by the government Spokesman, saying it was never part of a cabinet resolution.
“At the beginning of the session, President Salva Kiir questioned the Council of Ministers, why an announcement of currency change was made to the public last Friday yet it was not part of the agenda and resolutions of the previous cabinet meeting,” added the statement.
“President Salva Kiir and some members of the cabinet mentioned that, the change of the country’s currency was brought up in the discussion of previous cabinet meeting as one of the proposed ideas to be subjected for study and discussions as one of the long-term economic measures but it was not agreed and passed by the council that time.”
It has now emerged that Makuei’s announcement was premature and the government is likely to drop the idea.
“President Salva Kiir made assurance in the cabinet meeting that the government did not and has not agreed to change the currency of the country, but instead it was a suggestion, a proposed idea to be studied by the economists,” noted the statement.
Kiir promised that the government is in a final process of acquiring a loan that will be injected in the market to stabilize the currency rates. In addition, the Council of Ministers meeting also agreed to divert and inject the oil money into the market to help in the stabilisation of the market.