South Sudan Rejoices Over Reduction of Vivacell Penalty from $2.9 Billion to $48 Million

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Hon. Minister Michael Makuei, Minister of Information

By: Ginaba Lino

The Government of South Sudan has welcomed a significant legal victory in its arbitration case against Vivacell, with a tribunal under the International Chamber of Commerce reducing the compensation claim from $2.9 billion to $48 million.

Minister of Information Hon. Michael Makuei Lueth announced the outcome, crediting the government’s legal team for their effort in defending the national interest.

“This is the first international case South Sudan has won,” Makuei said. “It demonstrates our commitment to international law and protecting our country’s sovereignty.”

The government has agreed to pay the awarded $48 million to Vivacell, which operates under the trade name Network of the World (NoW).

Makuei recounted the legal battle, stating that the arbitration process was difficult but necessary. “The claims posed a serious threat to our economic stability and the livelihoods of countless South Sudanese citizens,” he said.

Vivacell originally obtained a telecom license in October 2003 from the New Sudan Telecommunication Corporation. In 2007, an amended agreement with the Ministry of Telecommunications and Postal Services granted the company tax concessions and customs exemptions.

Although the license was priced at $7 million, the government claims Vivacell only paid $1.5 million.

Following independence in 2011, South Sudan established the National Communication Authority (NCA) to regulate telecom operations. In 2018, the NCA introduced standardized licensing fees across all operators. Vivacell refused to comply, leading to the suspension of its services.