World Economy

S. Sudan to Issue 500 Pound Bills

S. Sudan to Issue 500 Pound BillsS. Sudan to Issue 500 Pound Bills

South Sudan’s central bank said on Monday it will issue higher denomination banknotes, enabling citizens to carry fewer notes as rampant inflation continues to devalue the local currency, Reuters reported. The bank said it would introduce a 500 pound bill, worth $1.5 US dollars, into circulation this month. Currently the largest note in circulation is a 100 pound bill. South Sudan’s economy is close to collapse after a 2015 peace deal with Sudan failed to stick and fighting between rival soldiers has continued. The conflict has hurt the country’s crude oil output, which is at less than half of its pre-war level of 245,000 barrels per day. Soaring inflation has persisted for several years, due in part to a depreciating South Sudan pound, which has lost more than halve its value against the dollar since December 2016 in the black market. In March, year-on-year inflation stood at 161.20%, according to the National Bureau of Statistics. It has averaged 89% over the past 10 years, racing to a peak of 835.70% in October 2016.

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