Qatar Bank Pursues $1Billion Debt From South Sudan in American Courts

(Washington, D.C.) – Qatar National Bank (QNB) has asked a federal court in Washington, D.C., to approve and enforce a $1 billion arbitration award against the Republic of South Sudan. The case stems from South Sudan’s default on a $700 million loan agreement that dates back to the country’s civil war period.

According to court filings reported by Law360, QNB is requesting the U.S. District Court to confirm the award, which was granted through international arbitration after South Sudan failed to repay the loan. The bank argues that the arbitration process followed all proper legal procedures and that South Sudan should be held accountable for the debt and related damages.

The original $700 million loan was issued during a time of major political and economic instability in South Sudan, which declared independence from Sudan in 2011 and soon fell into a prolonged civil conflict. With accumulated interest and penalties, the total amount due has reached approximately $1 billion—equivalent to about 1.6 trillion South Sudanese Pounds (SSP) at current exchange rates, or approximately SSP 1,600,000,000,000.

Qatar National Bank’s legal team stated that despite the arbitration ruling, South Sudan has not made efforts to settle the debt, leaving the bank with no choice but to pursue enforcement in a U.S. court, where the country holds some assets.