JUBA, (Xinhua) --
The South Sudanese pound has registered a
significant gain against the U.S. dollar, exchanging at 150 from
over 250 earlier this month as the warring parties gear up to
ink a peace deal.
Moses Hassan Tiel,
South Sudan’s minister for trade and East African Community
affairs, told Xinhua that inflation in the country has improved
significantly in the last three weeks following the peace deal
signed last month in Khartoum by the government and rebels.
“We have four main
markets where we collect price monitoring and since this week
the basic commodity prices are drastically reduced in the
country,” said Tiel.
He added that the
economy will recover if the local currency continues to rally
against the dollar.
Akec Peter Deng, a
Juba-based currency dealer said the rate at which the local
currency is rallying against the dollar within a short period
central bank governor Dier Tong Ngor introduced higher banknote
of 500 pounds to back earlier policies cancelling all the
applications for foreign exchange seeking bank approval in a bid
to increase dollar inflows into the market.
South Sudan floated
the fixed exchange rate in December 2015 with no official
foreign currency rate set by the government since then.
conflict that has now entered its fifth year erupted in late
2013 after forces loyal to President Salva Kiir and his former
deputy Riek Machar engaged in combat.
The 2015 peace
agreement to end the violence was again violated in July 2016
when the rival factions resumed fighting in the capital Juba,
forcing Machar to flee into exile.
Millions of South
Sudanese civilians have sought refuge in neighboring countries
as the conflict rages on despite attempts by international
players to end it.