By Kitab Unango, SSMJ Juba, Monday (October 14, 2024) - In a key step toward formalizing the country's artisanal mining sector, the government of South Sudan has directed the Ministry of Finance and Planning to immediately release funding for the development of a gold refinery and a network of training centers around the country. President Salva Kiir chaired a Council of Ministers meeting on Friday, October 11, 2024, during which he issued this directive, underscoring the government's commitment
By Kitab Unango, SSMJ
Juba, Monday (October 14, 2024) - In a key step toward formalizing the country's artisanal mining sector, the government of South Sudan has directed the Ministry of Finance and Planning to immediately release funding for the development of a gold refinery and a network of training centers around the country.
President Salva Kiir chaired a Council of Ministers meeting on Friday, October 11, 2024, during which he issued this directive, underscoring the government's commitment to empowering local miners and promoting sustainable development through its vast mineral resources.
The Ministry of Mining and the Council of Ministers are spearheading the project, which aims to ensure that South Sudan's mineral wealth, especially gold, benefits artisanal and small-scale miners (ASM).
The training centers will provide these miners with much-needed skills and expertise, while the gold refinery will give them access to markets where they can get fair prices for their products.
Following the meeting, Deputy Minister of Information Jacob Maiju Korok briefed the media, highlighting the urgency of the project and the importance of the Ministry of Finance’s role in making it a reality.
“The Council of Ministers has directed the Ministry of Finance and Planning to pay the agreed-upon amount for the purpose of establishing mineral and training centers throughout the country,” Korok stated.
"This is a crucial step in ensuring that artisanal and small-scale miners benefit from the minerals, such as gold, that are abundant in South Sudan."
The allocation of funds for these key projects remains unclear. However, in the yet-to-be-passed 2024/2025 Fiscal Budget , a total of SSP 75 billion has been allocated to the mining sector, signaling the government’s commitment to leverage the sector for economic growth.
The project, which has been in the planning stages for several months, marks an essential step in formalizing the often-informal artisanal mining sector, which has long been a source of livelihood for thousands of South Sudanese.
Artisanal miners, who work primarily in rural and conflict-affected areas, have historically faced a number of challenges, including limited access to markets, inadequate training, and unsafe working conditions.
By directing the Ministry of Finance and Planning to disburse the funds required for the establishment of these training centers and the gold refinery, the government is sending a strong signal that it is serious about empowering local miners and creating an inclusive economy.
The centers will not only provide miners with training in modern extraction techniques but will also focus on environmental conservation, ensuring that mining activities do not negatively impact the country’s ecosystems.
South Sudan’s economy has long been heavily dependent on oil, but in recent years, there has been a growing recognition of the need to diversify the country’s revenue streams. Experts have identified the mining sector, particularly gold mining, as a key area for potential growth.
By developing a robust artisanal mining sector and ensuring that local miners can benefit from the country’s mineral wealth, the government hopes to reduce its reliance on oil and create new economic opportunities for its citizens.
The directive to the Ministry of Finance and Planning is seen as a critical step in this strategy. The release of funds will allow the construction of infrastructure needed to support artisanal miners, who currently work under difficult and often dangerous conditions.
The training centers and gold refinery will be located in key mining regions across the country, with the aim of reaching as many miners as possible.
While the government’s commitment to the project is clear, the road ahead is not without challenges. Funding delays and bureaucratic hurdles have hampered previous efforts to support the mining sector, and there are concerns that these obstacles could slow the progress of the current initiative.
However, many see the directive to the Ministry of Finance and Planning as a decisive step to overcome these obstacles and guarantee the project's timely progress.
For South Sudan’s artisanal miners, the establishment of training centers and a gold refinery represents a long-awaited opportunity to improve their livelihoods.
Many miners have worked in isolation, using outdated tools and techniques that limit their productivity and expose them to significant risks.
With the support of the new training centers, miners will have access to modern equipment and techniques that can increase their efficiency and help them work more safely.
The gold refinery, meanwhile, will give miners direct access to markets, allowing them to sell their gold at fair prices. This is expected to reduce the exploitation of miners by middlemen, who often offer low prices for gold and other minerals, leaving miners with little profit for their labor.
As South Sudan looks to the future, the success of this initiative will depend on the continued support of the government and the timely release of funds by the Ministry of Finance and Planning.
If all goes according to plan, the country’s artisanal miners could soon find themselves at the forefront of a new era of economic growth and opportunity.