President Kiir approves SSP524m monthly salary package for MPs

President Salva Kiir has assented to the emolument and privileges act handing the lawmakers at the national level a handsome paycheck after they passed the bill early this year.

The Speaker of the National Assembly, Jemma Nunu Kumba, revealed this development during the ordinary session of the Transitional National Legislative Assembly (TNLA) on Wednesday at Freedom Hall, at a time when the MPs were handling motions raised on the impacts of oil exploration in the country.

According to the speaker, the emolument act took effect in March 2022. This implies that each MP should be receiving a monthly payment of SSP 800,000. The new figure represents an increase of more than 8,000% from the previous stipend of SSP 9,400 they earned since South Sudan’s independence.

“The emoluments and privileges of the members of the Transitional National Legislature Act 2022 have been assented to by His Excellency President Salva Kiir Mayardit, and it is now law.” This will take effect from March 18th, 2022, the speaker announced to the MPs.

The new amount also means that the government will spend SSP 524,000,000, on the 655 legislators in the TNLA and the Council of States on a monthly basis.

The increase accounts for about 2.2 per cent of the total budget of SSP 338 billion approved by the August House last month for the fiscal year 2021/2022.

Massive benefits

The speaker will get six cars while the deputy speakers will have three cars each. The chief whips will have two cars, according to the bill.

An economist condemned the self-salary increment by the MPs, saying it could spark negative views among the public that the lawmakers now aim to enrich themselves despite the thousands of impoverished South Sudanese who sometimes go days without food and other basic social services. The economist says the ball is now in the court of lawmakers to deliver services.

SSP 287.0 billion was earmarked for wages and salaries with SSP 84.1 billion going to goods and services, SSP 82.9 billion for other capital expenditures, SSP 46.5 billion for other capital expenditures, SSP 15.0 billion for peace implementation, and SSP 6.9 billion for other capital expenditures in the budget expenditure measures presented to parliament.

According to the results of the budget review led by the committee for finance and planning, the parliamentarians approved SSP 338,043,747,701, with a surplus of SSP 174,545,280,000, and the committee recommends this surplus money to be allocated to the spending agencies.

Ministry of public service and human resource development should be allocated SSP10,000,000, Agricultural Bank of South Sudan SSP 5,000,000,000, Constituency Development Fund SSP 8,611,080,483, Ministry of Peace Building SSP 179,454,525, Urban Water Corporation SSP 233,956,617, TNLA SSP 34,680,211,008, Council of States SSP 4,203,156,357

SSP 9,921,650 for the Parliamentary Service Commission, SSP 544,239,368 for the Ministry of Finance and Planning, SSP 966,000,000 for the Ministry of Higher Education Science and Technology Renovation and Domestic Travel, and SSP 60,000,000 for the Ministry of Trade and Industry.

Despite the increase of MPs’ honorarium to SSP 800,000, oil production is predicted to be 156,000 barrels per day in the fiscal year 2021–2022, down from 170,000 barrels per day in the fiscal years 2020/2021.

The decrease in oil production is attributable to the depletion of some oil wells, as well as the consequences of the floods in 2020. The government owns 42% of the profit from oil production, and the benchmark price for Dar Blend is expected to be US$ 63 a barrel.

Non-oil revenues are forecast to reach SSP 58.2 billion in FY 2021-2022, up from SSP 44.4 billion in FY 2020/2021 by SSP 13.8 billion, or 31.1 per cent. This has been attributed to sector reforms aimed at increasing tax collection accountability.

The increase in non-oil revenues is due to tax administration reforms being implemented by the National Revenue Authority, which includes digitizing tax collections, broadening the tax base, and the proposal to completely employ National Revenue Authority workers in non-tax revenue-collecting institutions.

MPs’ salary in numbers

655– The number of members of parliament at the national level

SSP 800,000– The new salary range for the members of parliament

SSP 524,000,000– The amount the government will spend on paying MPs per month

8,000– The least marginal percentage increase in MPs’ salaries

338b– The amount set aside for the budget