A Nation in Cash Crisis: Where is the Money?

(OPINION/John Agele) – Double Standards and Policy Contradictions in South Sudan’s Financial System

(JUBA) – The Government of South Sudan has repeatedly warned citizens against keeping large amounts of money at home, threatening serious consequences for those who fail to comply. In response, many law abiding citizens rushed to deposit their savings in commercial banks.

However, in a largely cash based economy like South Sudan, people must withdraw money regularly to meet their daily needs. Suddenly, banks began to run out of cash, sparking widespread panic and what can only be described as a “run on the banks.” Instead of addressing the root causes, the government imposed strict withdrawal limits of only SSP 100,000 (around $18) per person per day. (Exchange Rate: $1 = SSP 7,000).

Despite these restrictions, banks remain short of cash. Queues continue to grow longer each day and cash circulation keeps shrinking. Meanwhile, there is no clear explanation from authorities as the crisis worsens.

Here lies the irony: government institutions and revenue authorities still demand cash only payments from citizens. Recently, when I tried to pay court fees, land registry charges, approval dues and even passport renewals, I was told to bring cash only. Yet, the same government has restricted my ability to withdraw that very cash.

This situation deprives banks of revenue from withdrawal fees, denies citizens access to their own money, and even prevents the government from efficiently collecting its own dues.

So, the question arises:
Where is all the cash that the government collects every single day?

If all public payments are made in cash, why is that money not being channelled back into the banking system for citizens to withdraw? The economic chain has been broken by the very regulator meant to sustain it.

This is nothing short of a double standard and a policy contradiction that hurts everyone, except those holding the cash.

South Sudan deserves better.

We demand transparency: Where is the collected cash being kept?
We demand accountability: Who is responsible for this liquidity crisis?
We demand immediate policy correction: Let cash circulate through the banks as it should.

Our leaders must urgently address this contradiction and restore public trust in the financial system. A nation’s economy cannot function under confusion, restrictions and secrecy.

It is time for policymakers to act, and act responsibly.

Note:
We are sleeping hungry. Our money is locked in the banks, and food is locked in the stores, when both should be in the hands and stomachs of the people.

Agele John is a concerned citizen, an entrepreneur and former banker.

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