Finance Minister Reports Rise in Oil Production

(JUBA) – South Sudan is currently producing about 95,000 barrels of crude oil per day, the Minister of Finance and Planning, Barnaba Bak Chol, has told parliament, describing the figure as a key factor in supporting economic recovery.

The minister disclosed the production level last week while presenting the 2025 to 2026 national budget to lawmakers in Juba.

He said oil output has resumed after years of decline caused by the civil conflict that began in 2013 and the ongoing conflict in neighbouring Sudan, which has affected export routes and infrastructure.

According to the minister, the recovery of the oil sector is expected to drive overall economic growth, with projected expansion of about 37.9 percent.

He said crude oil production has reached about 95,000 barrels per day, making it one of the main contributors to the government’s revenue and foreign exchange earnings.

Despite the improvement in oil output, Chol warned that inflation remains high at around 15 percent.

He said price pressures are linked to exchange rate instability and supply constraints affecting goods and services across the country.

The minister added that the non oil sector is also expected to grow moderately, with an estimated increase of 5.5 percent, reflecting gradual progress in agriculture, trade, and services.

He told parliament that economic performance is expected to improve, driven mainly by oil sector growth of about 37.8 percent and non oil growth of 5.5 percent, following the resumption of production by the Dar Petroleum Operating Company.

Chol said the government’s fiscal policy for the 2026 to 2027 financial year is designed to limit inflation, stabilise prices, and support economic recovery.

He said the policy focuses on controlling public spending, improving revenue collection, and strengthening financial management.

Before the outbreak of conflict in 2013 and 2016, South Sudan was producing up to 300,000 barrels of oil per day.

The two civil wars led to major disruptions, causing production to fall by about 149,000 barrels per day by 2023.

The situation was further affected by fighting between the Sudanese Armed Forces and the Rapid Support Forces, which disrupted oil transit and resulted in additional cuts.