FILE – A medical staff attends to a malnourished child at a Medecins Sans Frontieres hospital in a displaced-persons camp inside the U.N. base in Malakal, South Sudan, July 24, 2014. NAIROBI, KENYA—
A study released Wednesday says the conflict in South Sudan could cost the country tens of billions of dollars in lost economic opportunities unless peace is reached soon. The country’s neighbors will also suffer lost trade and other costs the longer the crisis drags on.
The report from Frontier Economics , a European consultant firm, estimates the conflict in South Sudan could cost the country up to $28 billion during the next five years.
But the effects of the war over time could result in losses of $158 billion during the next 20 years, compared to a scenario in which South Sudan enjoys the economic benefits of peace and development.
Frontier Economics analyst Amar Breckenridge said the conflict was threatening South Sudan’s few assets, including oil revenues, which account for 70 percent of this year’s expected budget.
“At the moment, South Sudan faces a double squeeze in so far as its oil volumes are falling because of the conflict and oil prices are also going through the floor, and on top […]