The Council of Ministers in its regular sittings on Friday directed Finance Minister Aggrey Tisa Sabuni to borrow money for funding development projects in South Sudan.
Government Spokesperson Michael Makuei Lueth denied media reports that government borrowed 200 million US Dollars from oil companies, but they took advance oil money, not a loan.
He told journalists that so far government did not borrow money from anybody despite economic difficulties, but that because of need the cabinet directed the Finance Minister to start borrowing funds for national prjects.
The Spokesperson admitted that 30 percent of oil production in Unity and Upper Nile States was affected.
Mr Makuei said Electricity Minister Jemma Nunu Kumba demanded for additional funds of 14 million US to top up 36 million, amounting to 50 million US Dollars for implementing Fula Rapids Hydro electricity Dam project to supply power up to Juba by 2017.
He expressed hope that once the additional fund was acquired, hydro electricity power would be extended to Juba in 32 months.
The Spokesperson announced that cabinet deferred secondary inter-schools’ competitions programmed to take place in Malakal this year to 2015 in Yambio, Western Equatoria because of the security situation in Upper Nile State.
Mr Makuei said the cabinet decided to withdraw South Sudan Secondary Schools’ sports tournament participation in East Africa until the security improves for it to be conducted in South Sudan.