Uganda, South Sudan central banks sign cooperation agreement

Central banks of Uganda and South Sudan on Friday signed a memorandum of understanding in which the two banks agreed to cooperate in areas of monetary and economic policy formulation, capacity building, among others.The memorandum was signed by Tumusiime Mutebile, the governor of Bank of Uganda (BoU) and Kornelio Koriom Mayik, the governor of Bank of South Sudan. The memorandum is intended to establish a framework of mutual assistance and facilitate exchange of information between the two organizations as they fulfill their regulatory and supervisory responsibilities. Speaking at the function held at the BoU head office in the Ugandan capital Kampala, Mutebile said the economies of the two countries are interlinked and, therefore , it is the responsibility of the two institutions to create an enabling environment. “It is imperative that our two central banks should take on the responsibility for creating a conducive environment,” he said noting that many Ugandans are doing business in South Sudan.Kornelio Koriom Mayik said that BoU has played a central role in helping form and build the capacity of Bank of South Sudan personnel. “We are entering a new stage in our cooperation. I think this memorandum of understanding will be beneficial to all of us,” he said flanked by his delegation. According to World Bank, South Sudan has been Uganda’s largest trading partner since 2007. World Bank statistics showed that while formal imports from Uganda were 246 million U.S. dollars in 2008, informal imports were estimated to be as much as 389 million dollars in the same year.Uganda exports varied products to South Sudan with food, alcohol, bottled water, sugar, cooking oil and construction materials leading the list. Xinhua

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Uganda, South Sudan central banks sign cooperation agreement