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    The South Sudan HeraldThe South Sudan Herald
    Home»Business

    South Sudan Faces Fresh $60m Hotel Debt Lawsuit

    By The South Sudan HeraldNovember 28, 2025 Business 2 Mins Read
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    Hotel Coalition Returns to EACJ

    Thirty-two South Sudanese hotels have sued the government at the East African Court of Justice, claiming a promised US$60 million remains unpaid.

    The Arusha-based court has given Juba forty-five days to answer, reviving a quarrel many thought ended with an out-of-court pact last year (Radio Tamazuj).

    How the Debt Accrued

    After the 2018 peace agreement, the National Transitional Committee lodged army officers and negotiators in Juba hotels.

    Bills snowballed as peace talks dragged on, and by early 2021 several establishments cut electricity or evicted guests to limit mounting losses (Radio Tamazuj).

    July 2025 Settlement Terms

    On 24 July 2025 both sides signed a payment schedule in Juba witnessed by senior ministers and presidential aides.

    The first instalment was due on 29 September 2025, with final clearance pencilled for 2026, yet not a single tranche has reached hotel accounts, according to the coalition’s counsel.

    Silence from Juba Authorities

    The Ministry of Justice and the Office of the President have not publicly addressed the fresh filing.

    Hoteliers say private meetings with officials, including the executive director in the presidency, yielded assurances but no wires of cash.

    Legal Stakes for Regional Integration

    Lawyers invoke Article 30(2) of the EAC Treaty, arguing unpaid debts breach principles of good governance and the rule of law.

    Observers note the suit could shape perceptions of South Sudan’s commitment to regional norms just as it deepens ties within the East African Community.

    Economic Ripples for Hospitality Sector

    Analysts warn prolonged litigation may erode investor confidence in Juba’s fledgling hospitality market.

    Hotel managers, however, express cautious hope that a court-mandated timetable could finally unlock funds and stabilise operations battered by years of arrears.

    Bank of South Sudan East African Court of Justice Hotel Industry
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