Central Bank of South Sudan plans managed float of its new currency
July 12, 2011‐ Juba, South Sudan
The Central Bank of South Sudan is planning to have its new currency operate in a managed float in which the exchange rate of its currency is set based on the oil prices and the value of the regional currencies.
The bank is currently planning six denominations - 1, 5, 10, 25, 50, 100 while coins will follow later.
Speaking of inflation, he said that the Central Bank is not yet in a position to access the inflation levels and that the inflation of Uganda and Kenya will have an impact on them in the short term.
President of the central bank Elijah Malok said that the initial value of the South Sudan Pound will be equal to that of the Sudanese Pound. The value of the currency will be set by a committee that will be constituted for this purpose. The committee will be having members from the Ministry of Energy and Mining and the Ministry of Finance.
Earlier on July 11, 2011, the Finance Minister of South Sudan David Deng Athorbei said that the new currency notes of the country are printed by De La Rue Plc, the world’s biggest printer of banknotes and the shipment will arrive so as to begin distribution on July 18 or July 19. The President Umar al-Bashir has told the Parliament that the South Sudan Pound will replace the Sudanese Pound once the circulation of the notes begins. The North Sudan will take the old pounds at a value which is not yet worked out. Some media reports say that the process of currency replacement will take about 3 months time.
The Minister for Information Dr. Barnaba Marial Benjamin said that the salaries for July 2011 and the outstanding June salaries will be paid in the new currency.
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