In a move to address money laundering, the Financial Intelligence Unit (FIU) of the Bank of South Sudan has directed all traders to deposit their bulk cash holdings into banks by noon CAT on Friday, May 9th, 2025.
In a circular signed by Dr. Abraham Telar, acting commissioner for Financial Intelligence Unit, the directive is focused on preventing money laundering and ensuring that transactions in local currency are conducted through proper channels.
It references the Anti-Money Laundering and Counter-Terrorist Financing Act (2012, amended 2024) as well as the Bank of South Sudan Act (2011).
While the exact amount constituting ‘bulk’ cash for confiscation was not specified, security authorities are instructed to seize SSP held outside regulated financial systems.
Non-compliant individuals and institutions will also face criminal inquiries into the source of funds, tax evasion, and possible financing of terrorism.
“This is a critical step to safeguard our financial system and eliminate illicit activities,” Telar noted.
He added that sanctions would include license suspensions, blacklisting, and referrals to tax authorities for tax recovery.
Under section 14 (d) of the AML/CFT Act, possession of illicit bulk cash is punishable by imprisonment of up to ten (10) years for individuals or a fine of up to three times the value of the seized money for corporate bodies, in addition to any further sanctions imposed by the courts.
This action follows the nation’s liquidity crisis, worsened by local currency hoarding due to fears of conflict breaking out.
Last week, prominent economist Abraham Maliet Mamer urged the public to deposit their money into banks, stating that people are hoarding cash at home.
“For now, there is a shortage of cash, SSP, in the market, and it is difficult to withdraw your money because some people are keeping money in their houses. I appeal to you to bring that money to the bank to circulate,” Maliet appealed.
He added that groups keeping cash at home have controlled the market by refraining from depositing their money into banks for circulation.
