Latest news with #SalvaKiir
Business Insider
2 days ago
- Business
- Business Insider
Africa's poorest country faces $1 billion battle in U.S. court over war-era loan default from Qatar
Qatar National Bank (QNB) has taken legal action against South Sudan in a U.S court, seeking to enforce a $1 billion arbitration award after the country defaulted on a wartime loan. Qatar National Bank (QNB) has initiated legal action in the U.S. to enforce a $1 billion arbitration award against South Sudan South Sudan defaulted on a $700 million wartime loan from QNB, which has accrued additional debt due to penalties and interest. South Sudan's civil war severely impacted the economy, reducing GDP significantly and causing widespread challenges The petition, filed in a U.S court in Washington, D.C., follows South Sudan's failure to repay a $700 million loan obtained from Qatar during the height of its civil war, a debt that, with interest and penalties, has now ballooned to over $1 billion. The original loan was intended to stabilize South Sudan's fragile economy during a period of intense internal conflict. However, nearly a year after an international tribunal under the International Centre for Settlement of Investment Disputes (ICSID) ruled in favor of QNB, South Sudan and its central bank have reportedly neither paid the award nor challenged it. QNB's move to seek enforcement in the U.S. has revealed the growing frustrations over the lack of compliance and highlights how sovereign debt disputes are increasingly playing out on global legal stages. According to the International Monetary Fund (IMF), South Sudan had the lowest GDP per capita in 2025, making it one of the poorest countries in Africa. Thus, the $1 billion court case with Qatar National Bank (QNB) over an unpaid wartime loan reflects the severity of the country's economic crisis. If the U.S. court agrees to uphold the award, South Sudan could face asset seizures or further diplomatic pressure to meet its obligations. The South Sudan war The South Sudanese civil war, which ran from December 2013 to February 2020, began as a political clash between President Salva Kiir and former Vice President Riek Machar, but quickly turned into an ethnic conflict between the Dinka and Nuer. Coming just two years after independence in 2011, the war exposed the country's weak institutions and deep divisions. Beyond the human cost of over 400,000 deaths and millions displaced, the economy lost more than $28 billion in GDP between 2013 and 2018. Oil production which is South Sudan's main revenue source, plunged, inflation soared, and public services collapsed as the war devastated infrastructure and drove away investors. The loan dispute South Sudan's loan dispute with Qatar National Bank (QNB) began after independence in 2011, when the country secured credit to fund essential imports. Shortly after becoming a nation in 2011, South Sudan and its central bank secured loans from QNB to fund critical imports such as food, medicine, and refined oil. When the civil war erupted in late 2013 and oil revenues collapsed, QNB extended additional credit, including a $250 million top-up. By 2015, South Sudan began defaulting, prompting two debt renegotiations. The final 2018 agreement consolidated the loans into a $700 million, 15-year facility, with repayments set to begin in March 2019. After drawing down about $659.8 million, South Sudan missed its first payment, triggering a formal arbitration process. QNB filed a claim in 2020 under ICSID rules. Following hearings in London, the tribunal ruled in January 2024 that both South Sudan and its central bank had breached the loan terms. A final award issued in May ordered them to pay over $1.02 billion, including principal, interest, and legal costs. Despite the ruling, QNB says South Sudan has neither paid nor contested the award. According to court filings reviewed by SudansPost, QNB argues that under U.S. law and the ICSID Convention, the arbitration award must be enforced 'like a final court judgment. ' The bank says South Sudan waived any sovereign immunity t hrough its contract and ICSID membership.
Asharq Al-Awsat
13-06-2025
- Politics
- Asharq Al-Awsat
UN Agencies Say a Violence-hit Part of South Sudan is on the Brink of Famine
Three United Nations agencies warned on Thursday of looming famine in a conflict-stricken part of South Sudan. People in 11 of 13 counties in South Sudan's Upper Nile state now face emergency levels of hunger, the World Food Program, the UN Children's Fund and the Food and Agriculture Organization said in a joint statement. Upper Nile is the scene of fighting between government troops and armed militias that oppose the government of President Salva Kiir. The fighting has escalated in recent months, 'destroying homes, disrupting livelihoods and impeding the delivery of humanitarian aid,' the statement said. Some 32,000 people are in hunger conditions categorized as 'catastrophic,' more than three times the previous projection, it said. Although some other parts of South Sudan are seeing improvements in food security, some 57% of the east African country's 11.5 million people face acute food insecurity, Reuters reported. Famine was declared in parts of South Sudan in 2017. The Integrated Food Security Phase Classification, the leading international system to designate hunger crises, considers an area to be in famine when three things occur: 20% of households have an extreme lack of food, or essentially are starving; at least 30% of children suffer from acute malnutrition or wasting, meaning they're too thin for their height; and two adults or four children per every 10,000 people are dying daily of hunger and its complications. The IPC unites experts from more than 20 organizations, including UN agencies, the Famine Early Warning Systems Network, the European Union, and the World Bank. Nasir, one of the counties facing a famine warning, is a stronghold for anti-government militias and the scene of fighting that has left mounting civilian casualties. 'Once again, we are seeing the devastating impact conflict has on food security in South Sudan,' Mary-Ellen McGroarty, the World Food Program representative in South Sudan, said in the statement by the UN agencies. 'Conflict doesn't just destroy homes and livelihoods, it tears communities apart, cuts off access to markets and sends food prices spiraling upward. Long-term peace is essential, but right now, it is critical our teams are able to access and safely distribute food to families caught in conflict in Upper Nile, to bring them back from the brink and prevent famine.'
12-06-2025
- Politics
UN agencies say a violence-hit part of South Sudan is on the brink of famine
JUBA, South Sudan -- Three United Nations agencies warned on Thursday of looming famine in a conflict-stricken part of South Sudan. People in 11 of 13 counties in South Sudan's Upper Nile state now face emergency levels of hunger, the World Food Program, the U.N. Children's Fund and the Food and Agriculture Organization said in a joint statement. Upper Nile is the scene of fighting between government troops and armed militias that oppose the government of President Salva Kiir. The fighting has escalated in recent months, 'destroying homes, disrupting livelihoods and impeding the delivery of humanitarian aid,' the statement said. Some 32,000 people are in hunger conditions categorized as 'catastrophic,' more than three times the previous projection, it said. Although some other parts of South Sudan are seeing improvements in food security, some 57% of the east African country's 11.5 million people face acute food insecurity. Famine was declared in parts of South Sudan in 2017. The Integrated Food Security Phase Classification, the leading international system to designate hunger crises, considers an area to be in famine when three things occur: 20% of households have an extreme lack of food, or essentially are starving; at least 30% of children suffer from acute malnutrition or wasting, meaning they're too thin for their height; and two adults or four children per every 10,000 people are dying daily of hunger and its complications. The IPC unites experts from more than 20 organizations, including U.N. agencies, the Famine Early Warning Systems Network, the European Union, and the World Bank. Nasir, one of the counties facing a famine warning, is a stronghold for anti-government militias and the scene of fighting that has left mounting civilian casualties. 'Once again, we are seeing the devastating impact conflict has on food security in South Sudan,' Mary-Ellen McGroarty, the World Food Program representative in South Sudan, said in the statement by the U.N. agencies. 'Conflict doesn't just destroy homes and livelihoods, it tears communities apart, cuts off access to markets and sends food prices spiraling upward. Long-term peace is essential, but right now, it is critical our teams are able to access and safely distribute food to families caught in conflict in Upper Nile, to bring them back from the brink and prevent famine.' ___ Muhumuza contributed from Kampala, Uganda.
Yahoo
12-06-2025
- Politics
- Yahoo
UN agencies say a violence-hit part of South Sudan is on the brink of famine
JUBA, South Sudan (AP) — Three United Nations agencies warned on Thursday of looming famine in a conflict-stricken part of South Sudan. People in 11 of 13 counties in South Sudan's Upper Nile state now face emergency levels of hunger, the World Food Program, the U.N. Children's Fund and the Food and Agriculture Organization said in a joint statement. Upper Nile is the scene of fighting between government troops and armed militias that oppose the government of President Salva Kiir. The fighting has escalated in recent months, 'destroying homes, disrupting livelihoods and impeding the delivery of humanitarian aid,' the statement said. Some 32,000 people are in hunger conditions categorized as 'catastrophic,' more than three times the previous projection, it said. Although some other parts of South Sudan are seeing improvements in food security, some 57% of the east African country's 11.5 million people face acute food insecurity. Famine was declared in parts of South Sudan in 2017. The Integrated Food Security Phase Classification, the leading international system to designate hunger crises, considers an area to be in famine when three things occur: 20% of households have an extreme lack of food, or essentially are starving; at least 30% of children suffer from acute malnutrition or wasting, meaning they're too thin for their height; and two adults or four children per every 10,000 people are dying daily of hunger and its complications. The IPC unites experts from more than 20 organizations, including U.N. agencies, the Famine Early Warning Systems Network, the European Union, and the World Bank. Nasir, one of the counties facing a famine warning, is a stronghold for anti-government militias and the scene of fighting that has left mounting civilian casualties. 'Once again, we are seeing the devastating impact conflict has on food security in South Sudan,' Mary-Ellen McGroarty, the World Food Program representative in South Sudan, said in the statement by the U.N. agencies. 'Conflict doesn't just destroy homes and livelihoods, it tears communities apart, cuts off access to markets and sends food prices spiraling upward. Long-term peace is essential, but right now, it is critical our teams are able to access and safely distribute food to families caught in conflict in Upper Nile, to bring them back from the brink and prevent famine.' ___ Muhumuza contributed from Kampala, Uganda.
The Hill
12-06-2025
- Politics
- The Hill
UN agencies say a violence-hit part of South Sudan is on the brink of famine
JUBA, South Sudan (AP) — Three United Nations agencies warned on Thursday of looming famine in a conflict-stricken part of South Sudan. People in 11 of 13 counties in South Sudan's Upper Nile state now face emergency levels of hunger, the World Food Program, the U.N. Children's Fund and the Food and Agriculture Organization said in a joint statement. Upper Nile is the scene of fighting between government troops and armed militias that oppose the government of President Salva Kiir. The fighting has escalated in recent months, 'destroying homes, disrupting livelihoods and impeding the delivery of humanitarian aid,' the statement said. Some 32,000 people are in hunger conditions categorized as 'catastrophic,' more than three times the previous projection, it said. Although some other parts of South Sudan are seeing improvements in food security, some 57% of the east African country's 11.5 million people face acute food insecurity. Famine was declared in parts of South Sudan in 2017. The Integrated Food Security Phase Classification, the leading international system to designate hunger crises, considers an area to be in famine when three things occur: 20% of households have an extreme lack of food, or essentially are starving; at least 30% of children suffer from acute malnutrition or wasting, meaning they're too thin for their height; and two adults or four children per every 10,000 people are dying daily of hunger and its complications. The IPC unites experts from more than 20 organizations, including U.N. agencies, the Famine Early Warning Systems Network, the European Union, and the World Bank. Nasir, one of the counties facing a famine warning, is a stronghold for anti-government militias and the scene of fighting that has left mounting civilian casualties. 'Once again, we are seeing the devastating impact conflict has on food security in South Sudan,' Mary-Ellen McGroarty, the World Food Program representative in South Sudan, said in the statement by the U.N. agencies. 'Conflict doesn't just destroy homes and livelihoods, it tears communities apart, cuts off access to markets and sends food prices spiraling upward. Long-term peace is essential, but right now, it is critical our teams are able to access and safely distribute food to families caught in conflict in Upper Nile, to bring them back from the brink and prevent famine.' ___ Muhumuza contributed from Kampala, Uganda.
