South Sudan and the AfDB
The African Development Bank and South Sudan have a history of cooperation which started after the signing of the Comprehensive Peace Agreement (CPA) in 2005. The then territory of Southern Sudan benefitted under the one country two systems approach and later after independence under the Cooperation Agreement signed with the Bank. The country was officially accepted as member of the African Development Bank in May 2012 and in September 2013 it ratified its membership.
The Bank is financing three (3) ongoing projects with a total investment of approximately US $17.8 million. Given the institutional capacity constraints facing the country, the Bank’s investment in South Sudan is mainly focused on Institutional Capacity Building and Public Finance Management. The Bank has also financed the first Infrastructure Action Plan (IAP) which is critical to planning and mobilizing resources to address the binding constraint of the country’s huge infrastructure deficit resulting from decades of war.
Following the attainment of independence, the country prepared its first development planning framework called the South Sudan Development Plan (SSDP) 2011 to 2013 which has now been extended to 2016 and is in the process of finalizing the South Sudan Development Initiative (SSDI) whose objective is to prioritize and operationalize transformative projects and programs of the SSDP. The planning framework of the country focuses on transitioning from fragility by addressing human capacity constraints and the New Deal for Fragile State’s five peace- and state-building goals including: (i) legitimate politics; (ii) security; (iii) justice; (iv) economic foundations; and (v) revenue and services.
Aligned to the pillars and objectives of the SSDP, the Bank in October 2012 approved the first Interim Country Strategy Paper (I-CSP) 2012-2014. The I-CSP is articulated around one main pillar: “State Building through Capacity Building and Infrastructure Development”. Particular emphasis is on creating the conditions for promoting peace, stability and state building, through assisting the country in human and institutional capacity building in public finance management, aid coordination and quick-win infrastructure projects with potential rapid impact on enhancing peace, security, livelihoods and the investment climate.
In line with the I-CSP, the Bank will in 2013 provide grants amounting to UA 33.99 million* for four interventions, namely: Technical Assistance for the Development of the Transport Sector; Direct Budget Support Program (to be financed in parallel with the IMF and the World Bank); Small Towns’ Water Supply and Sanitation Feasibility Study and Detailed Design; and the Juba Power Distribution System Rehabilitation and Expansion Project. The plan for 2014 includes two major interventions in the infrastructure sector, and support to the agriculture sector. These are: The Fula Rapids Hydroelectric Power Project, which is packaged as a public-private partnership and will receive up to UA 6.6 million from the private sector window of the Bank as well as the Juba-Kapoeta Road Upgrading Project on the Kampala-Juba-Addis-Djibouti Corridor from the ADF country allocation and regional/multination window as well as the Drought Resilience in the Horn of Africa support program. The allocation for the three projects is about UA 97.5 million from country allocation (PBA and FSF) and regional window.
* As of November 2013, 1 Unit of Account (UA) = 1.53804 United States Dollars (USD)