News Analysis: Cash crunch slows down S. Sudan's peace progress

Economic crunch has slowed down South Sudan's peace deal, which needs urgent funding to expeditiously move forward, experts have said.

The peace agreement signed in August 2015 suffered setback after rebel leader Riek Machar was replaced by his former chief negotiator Taban Deng, leaving the cash-strapped transitional unity government formed mid-April in crisis after the international community kept mum on its promise of availing financial support.

And the renewed July clash between rival troops has spread to peaceful areas of Yei, southwest of the capital Juba in Equatoria region after Machar's call for armed rebellion, hence putting the peace implementation in jeopardy.

Machar has further dismissed the current political arrangement in Juba as illegitimate, and called for efforts to help resuscitate the peace agreement so that he can be part of it.

"So far we are going, according to the peace matrix, and we have told all institutions to implement it. Very soon we are having cantonment areas so that all SPLA-IO move there. The only challenge for us is lack of money," Deputy Minister of Information Paul Akol Kordit told Xinhua in an interview in Juba on Tuesday.

Kordit revealed that they require financial assistance from the international community to achieve meaningful progress.

"We are making progress. So far we have not had any serious fighting apart from attacks from Machar's forces in Bentiu and Malakal," he disclosed.

South Sudan is in the final stage of passing its 2016/17 budget estimated at 300 million U.S. dollars after conflict disrupted oil production it relies upon to finance 98 percent of the budget.

However, analysts say despite the peace partners showing some optimism, the agreement faces daunting task ahead to deliver the fruits of peace.

Political Science lecturer at Juba University Jacob Dut Chol told Xinhua that the peace agreement faces a bumpy road to achieve its objective.

"There is a very long road ahead because already we are behind schedule. The agreement should have been implemented before next year, because we shall be going for elections in 2018," he revealed.

He added that the cease-fire is not yet being respected by the warring parties, with escalation of recent violence in newly created Northern Liech state and Malakal in northern region.

"The international community has not been clear on support to South Sudan and it may hamper implementation of the agreement," Chol observed.

The Joint Monitoring Evaluation Commission (JMEC), the body monitoring the peace deal, said in a recent statement that the peace process has hit its first major test and it won't allow it to be derailed. And that it calls upon all parties to return to the negotiating table.

Abraham Awolich, political analyst with the Juba-based Sudd Institute, told Xinhua that there is need to now incorporate the peace agreement into the transitional constitution.

"The agreement seems to be moving forward but there are a lot of delays in critical areas like how to manage the post-July violence. The parties spent much time on that but as soon as the budget is passed they should move immediately to implementation," he said.

South Sudanese economist Alic Garang told Xinhua that the government is cash constrained due to the fact that global oil prices have remained low and that the security sector reform needs money to carry out workshops and training.

"The logical thing is to provide funds first to implement the agreement. Lack of money is big setback, with soldiers not cantoned in their areas and instead loitering around causing insecurity," Garang said. Endit