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The Republic of South Sudan became the world¡¯s youngest nation and Africa¡¯s 54^th country on July 9, 2011. However, outbreaks of civil war in 2013 and 2016, persistent subnational violence, weak management of public resources, and political contestation have undermined post-independence development gains and intensified existing humanitarian needs. More than a decade after independence, South Sudan remains impacted by fragility, economic stagnation, and instability. Poverty is ubiquitous, exacerbated by conflict, displacement, and external shocks.

The signing of the Revitalized Agreement on the Resolution of the Conflict in the Republic of South Sudan (R-ARCSS) in September 2018 and the formation of a Transitional Government of National Unity in February 2020 have contributed to greater stability. The transitional period was recently further extended to February 2027 to allow the Transitional Government to implement vital provisions in the R-ARCSS and prepare the country for elections. However, a modest economic recovery, recorded following the peace agreement, has been upended by the COVID-19 pandemic, historic floods, the conflict in Sudan, and challenges in public financial management. South Sudan¡¯s economic outlook is now clouded by crippling shocks to its heavily oil-dependent economy, highlighting the need for diversification. As South Sudan depends on neighboring Sudan as the only route to export oil to international markets, the conflict in Sudan significantly impacted South Sudan¡¯s macroeconomic stability. The fiscal capacity to mitigate significant declines in oil production or shocks in global oil and food prices remains severely constrained by substantial challenges in the governance of oil sector revenues and weak fiscal discipline.

South Sudan remains in a serious humanitarian crisis according to the United Nations Office of the Coordination of Humanitarian Affairs (UNOCHA) latest update. The food security situation continues to deteriorate due to a combination of shocks, including conflict, displacement, flooding, and a high cost of living. The ongoing inflow of returnees and refugees from Sudan is further exasperating this situation. As of November 2024, approximately 6.1 million people (45% of the population) are projected to face crisis-level or more severe acute food insecurity from December 2024 to March 2025. This number is expected to rise to 7.7 million (57% of the population) during the lean season of April to July 2025. Meanwhile, 85% of South Sudanese returnees from Sudan are likely to experience crisis-level or worse food insecurity. Malnutrition rates remain alarmingly high among children and women, with more than 2.1 million people at risk of acute malnutrition in 2025. As of March 2025, over 1.1 million people had arrived from Sudan, with projections estimating that South Sudan is hosting 544,437 refugees and asylum-seekers from Sudan. Estimates indicate that 150,000 more refugees, predominantly from the Sudan, will arrive in 2025. Looking forward, ensuring the implementation of the peace agreement, as well as strengthening service delivery, institutions, governance, and economic and public financial management systems, and addressing the root causes of fragility will prove critical as the country seeks to build resilience against future shocks and lay down the building blocks for a diversified, inclusive, and sustainable growth path.

Last Updated: Apr 17, 2025

ľ¹ÏÓ°Ôº Group (WBG) has been engaged in South Sudan since the creation of the autonomous Government of Southern Sudan in 2005. The WBG¡¯s strategy is guided by its Country Engagement Note (CEN) FY21-23. This has three focus areas: (a) laying the groundwork for institution building, (b) continuing support for basic public service delivery, and (c) promoting resilience and livelihood opportunities. The CEN also seeks to promote social inclusion, particularly of youth and women, as a cross-cutting principle.

As of April  2025, the World Bank Group portfolio in South Sudan stands at $1.49 billion, covering eleven national and three regional operations across the sectors of governance, education, health, social protection, financial sector, agriculture, women¡¯s empowerment, energy, water, digital development, and community resilience.

Last Updated: Apr 17, 2025

Providing Income Opportunities. Through the South Sudan Productive Safety Net for Socioeconomic Opportunities Project (SNSOP), the World Bank has provided temporary income opportunities to 64,633 poor and vulnerable households (approximately 420,114 individuals) across 12 counties with ongoing payment in the three additional counties of Aweil West, Maban, and Pariang of Upper Nile State. The second round of payment is tentatively planned for April 2025.

Enhancing Community Resilience and Improving Access to Basic Services. Through the Enhancing Community Resilience and Local Governance Project (ECRP), the World Bank helped improve access to basic services for over 738,000 people (of which 51% are women) in 369 villages (bomas) across 20 counties through the construction and rehabilitation of 345 community facilities that included 33 schools, 31 health facilities, 258 water facilities, 45 km of community roads, 11 markets, and 4 youth centers. Additionally, ECRP has generated over 595,000 person-days of wage labor through labor intensive public works, of which 27% of wages were paid to women. Close to 5,000 community members have also been trained on topics such as participatory planning, village resource mapping, and community-based disaster risk management, among others 61,485 people benefitted from the rehabilitation of community dikes and received training sessions designed to reduce vulnerability to flooding.

The ECRP is being scaled up under the follow-up operation (ECRP-II) to expand access to basic infrastructure to under-serviced areas and to enhance flood resilience. So far, more than 43 km of dikes and 2.5 km of drainage scheme have been constructed or rehabilitated, and 79 community infrastructure have been completed, benefitting more than 127,000 people with access to improved infrastructure and generating 10,500 person-days of work. To ensure long-term sustainability, the project has a dedicated component for institutional strengthening of local governments and community institutions below the county/local governments.

Improving Agricultural Production. Through the Emergency Locust Response Project (ELRP) and Resilient Agriculture and Livelihood Project (RALP), 380,895 farmers have been provided with various assets and services to support recovery from the ravages of the desert locust outbreak and to boost their capacity in food production and enhance food security. Nearly 48,601 households also received direct income support. Through a labour-intensive public works program, household assets were restored, and critical community assets, including community access roads, were repaired. Beneficiaries were able to build more than 73 km of community access roads under RALP, and over 500,000 building blocks were made for the construction of community schools and health care centres. Additionally, 403,000 seedlings were cultivated in 39 community tree nurseries across South Sudan, which contribute to reforestation efforts, improve local biodiversity, and provide long-term environmental and economic benefits to the communities.

Supporting the Government¡¯s Public Financial Management Reform (PFM) Efforts. The Public Financial Management and Institutional Strengthening Project has made good progress  in helping the Government of the Republic of South Sudan in amending the PFM Act, which was endorsed by the president on November 11, 2024. This approval is a major step forward, enabling important PFM reforms such as strengthening the legal foundation for the Integrated Financial Management Information System (IFMIS) and the Single Treasury Account.

The design of the IFMIS, which is key for implementing these reforms and speeding up the production of statutory and in-year budgets, is already underway. These initiatives are set to bring about greater transparency, accountability, and efficiency in managing public finances, ultimately benefiting the entire nation.

Last Updated: Apr 17, 2025

ľ¹ÏÓ°Ôº Group maintains strong partnerships and engages regularly with development and humanitarian partners, the private sector, UN agencies, non-governmental organizations (NGO), and civil society organizations (CSOs) in South Sudan.

Last Updated: Apr 17, 2025