ADDIS ABABA: South Sudan said yesterday oil production would resume by the end of the year, after Juba and Khartoum signed a deal to secure their shared border which allowed for the resumption of the South’s oil exports through its northern neighbor.
“We have already started the preparations ... I believe by the end of the year, the oil will flow,” chief negotiator Pagan Amum said in Addis Ababa where the countries’ two leaders had just signed the deal.
The leaders of Sudan and South Sudan signed the deals to secure their shared border and boost trade, including a restart of crucial oil exports, but they failed to resolve other conflicts remaining after the South seceded last year.
The deal, reached after more than three weeks of negotiations, will throw both ailing economies a lifeline and prevent, for now, a resumption of the fighting that broke out along the border in April and nearly led to all-out war.
Sudan President Omar Hassan Al-Bashir and South Sudan President Salva Kiir signed cooperation and trade deals to applause at a packed room in a five-star hotel in Addis Ababa, the seat of the African Union, which has been brokering the talks.
“We are convinced that what has happened, which culminated in signing of the agreements, constitutes a giant step forward for both countries,” AU mediator Thabo Mbeki said.
The defense ministers of both countries also signed a deal to set up a demilitarized buffer zone along the joint border.
Bashir said it was a “historic moment for building peace” between the former civil war foes.
The deal will allow landlocked South Sudan to resume oil exports though Sudan, which will provide both ailing economies with dollars. The South in January had shut down its entire output of 350,000 barrels a day after the countries argued about transit fees.
Faced with the threat of UN sanctions and economic collapse, Bashir and Kiir, whose relationship has been marred by years of civil war, agreed to set up the demilitarized zone.
But the two sides failed to settle the fate of at least five disputed, oil-producing regions along the 1,800 km border, despite pressure from the African Union, the US and other Western powers.
They were also unable to reach a solution for the border region of Abyei, which has symbolic significance to both and is rich in grazing lands.
Kiir, who described the talks as “difficult,” thanked Al-Bashir for his cooperation but blamed his northern neighbor for failing to reach a deal on Abyei.
South Sudan oil production to resume by end of year
South Sudan oil production to resume by end of year
Saudi Arabia’s foreign reserves rise to a 6-year high of $475bn
RIYADH: Saudi Arabia’s foreign reserves climbed 3 percent month on month in January to SR1.78 trillion, up SR58.7 billion ($15.6 billion) from December and marking a six-year high.
On an annual basis, the Saudi Central Bank’s net foreign assets rose by 10 percent, equivalent to SR155.8 billion, according to data from the Saudi Central Bank, Argaam reported.
The reserve assets, a crucial indicator of economic stability and external financial strength, comprise several key components.
According to the central bank, also known as SAMA, the Kingdom’s reserves include foreign securities, foreign currency, and bank deposits, as well as its reserve position at the International Monetary Fund, Special Drawing Rights, and monetary gold.
The rise in reserves underscores the strength and liquidity of the Kingdom’s financial position and aligns with Saudi Arabia’s goal of strengthening its financial safety net as it advances economic diversification under Vision 2030.
The value of foreign currency reserves, which represent approximately 95 percent of the total holdings, increased by about 10 percent during January 2026 compared to the same month in 2025, reaching SR1.68 trillion.
The value of the reserve at the IMF increased by 9 percent to reach SR13.1 billion.
Meanwhile, SDRs rose by 5 percent during the period to reach SR80.5 billion.
The Kingdom’s gold reserves remained stable at SR1.62 billion, the same level it has maintained since January 2008.
Saudi Arabia’s foreign reserve assets saw a monthly rise of 5 percent in November, climbing to SR1.74 trillion, according to the Kingdom’s central bank.
Overall, the continued advancement in reserve assets highlights the strength of Saudi Arabia’s fiscal and monetary buffers. These resources support the national currency, help maintain financial system stability, and enhance the country’s ability to navigate global economic volatility.
The sustained accumulation of foreign reserves is a critical pillar of the Kingdom’s economic stability. It directly reinforces investor confidence in the riyal’s peg to the US dollar, a foundational monetary policy, by providing SAMA with ample resources to defend the currency if needed.
Furthermore, this financial buffer enhances the nation’s sovereign credit profile, lowers national borrowing costs, and provides essential fiscal space to navigate global economic volatility while continuing to fund its ambitious Vision 2030 transformation agenda.
