Central Bank set to auction Dollar to protect a weaker SSP

Central Bank set to auction Dollar to protect a weaker SSP
Fake dollar notes. [Photo: Snapchat]

The Bank of South Sudan (BSS) has stepped up efforts to protect a depreciating South Sudanese Pound (SSP) by reducing the demand for the US Dollar.

The Central Bank on Friday said that they plan to release $5, 000, 000 to Commercial Banks, a move aimed at reducing the demand for the ‘bucks’, by lowering exchange rates.

“The Bank of South Sudan intends to sell US dollars: 5,000,000.00 (USD Five Million only) to eligible commercial banks through an auction to be held on Monday 30th May 2022.

“The auction process will be governed by the Bank of South Sudan Foreign Exchange Auction Rules and Procedures,” read a notice by the Chairperson of Forex Auction Supervisory Committee in the Bank of South Sudan, Abugo Charles Joseph.

Interested banks will collect application forms and auction rules and procedures in the office of the Chairperson of the Auction Supervisory Committee at the Bank of South Sudan, during working hours.

The commodity prices have risen in recent days as the dollar overlooks pounds by selling at a staggering 472.2180 and buying at 458, 2608 against the US Dollar, and Euro selling and buying at 504.6121/489.6058 respectively.

British pounds also is bought at SSP 574.7502 and sold at 592.3507.

The depreciating SSP and other external factors like the war in Ukraine and Thursday’s extension of the arms embargo by the UN Security Council, saw fuel prices shoot up, and risen from SSP450 to SSP 650-750 since last week.