Country Overview and Business Climate
Analysts at IOA say they have tracked South Sudan’s trajectory since independence, using research and consulting work to map key trends. Their reading highlights how political competition has been closely linked to recurring conflict, shaping the investment climate (Africa.com).
In the same assessments, South Sudan is presented as a case where natural-resource wealth has not translated into broad-based gains. The ongoing instability has also driven large-scale displacement, described as among Africa’s most severe refugee dynamics (Africa.com).
Oil Dependence and Livelihood Realities
The economy remains overwhelmingly reliant on oil. According to the report, after a shutdown lasting about a year, Dar Blend pipeline exports resumed in early 2025 following repairs and fragile local agreements (Africa.com).
Outside the oil sector, most households are reported to depend on subsistence farming and herding. This contrast between headline export earnings and everyday livelihoods is a central feature investors must factor into demand, logistics and workforce planning (Africa.com).
Agriculture and Trade Links: Where Opportunity Sits
The source points to underutilised agricultural land and other resources that could perform with targeted investment and strategic planning. Agriculture is framed as a practical route to easing food shortages while building exportable output (Africa.com).
It also notes existing trade connections with African and international markets. For businesses, these links may offer entry points, although the report implies that predictable security and functioning institutions remain decisive for scaling operations (Africa.com).
Humanitarian, Governance and Climate Risks
On the risk side, the article describes the country as facing its most severe humanitarian crisis to date. It links the pressures to conflict-related instability and long-running displacement patterns (Africa.com).
Governance concerns cited include armed conflict, corruption and political uncertainty. These factors typically raise transaction costs, complicate compliance, and increase contract-enforcement risks for both local entrepreneurs and external investors (Africa.com).
Climate shocks are another recurrent constraint. The report references droughts, floods and locust swarms as disruptions that erode livelihoods, weaken agricultural productivity and intensify displacement dynamics, complicating medium-term planning (Africa.com).
Stability-Linked Investment Outlook
Overall, the report argues that large-scale investment in education, healthcare and infrastructure could unlock broad opportunities once national stability is secured. In practice, it suggests a phased outlook: risk-aware engagement now, with larger bets tied to sustained improvements in stability (Africa.com).