Khartoum wanted Juba to pay about $36 a barrel for a bundle of charges to pipe the oil to port; Juba countered with a suggestion of under $1 and mentioned it might pay the remainder on to the worldwide corporations who produce the oil. Whereas they haggled, South Sudan stored exporting crude on the understanding it will pay Khartoum again once a deal was struck. But as South Sudan collected over $3 billion in oil revenue, Sudan's financial system cratered. The Sudanese pound halved in value, driving up the cost of imports like wheat and sugar.
Monday, October 28, 2013
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Khartoum wanted Juba to pay about $36 a barrel for a bundle of charges to pipe the oil to port; Juba countered with a suggestion of under $1 and mentioned it might pay the remainder on to the worldwide corporations who produce the oil. Whereas they haggled, South Sudan stored exporting crude on the understanding it will pay Khartoum again once a deal was struck. But as South Sudan collected over $3 billion in oil revenue, Sudan's financial system cratered. The Sudanese pound halved in value, driving up the cost of imports like wheat and sugar.
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