VZCZCXRO6647
RR RUEHROV
DE RUEHKH #1168 1361720
ZNR UUUUU ZZH
R 161720Z MAY 06
FM AMEMBASSY KHARTOUM
TO RUEHC/SECSTATE WASHDC 2856
INFO RUCNIAD/IGAD COLLECTIVE

UNCLAS KHARTOUM 001168 
 
SIPDIS 
 
SIPDIS 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: PGOV EFIN MCAP SU
SUBJECT:  SOUTHERN LEGISLATURE RECOMMENDS INCREASED 
MILITARY BUDGET FOR 2006 
 
 
¶1. (U) On May 10, the Southern Sudanese Legislative 
Assembly (SSLA) convened to consider recommendations by 
the Standing Committee on Development, Finance and 
Economy to change portions of the 2006 budget submitted 
to the SSLA by the Ministry of Finance.  The big winner 
was the Sudan People's Liberation Army, which had 
initially been budgeted at 15 percent of non-Multi Donor 
Trust Fund (MDTF) revenues, or USD 200 million.  The 
Standing Committee recommended that this budget be 
increased to 40 percent of revenues, or USD 536 million. 
 
¶2. (U) There were lesser tweaks, including 3 percent of 
non-MDTF revenues, or USD 39 million, for the 
Constituency Development Fund (CDF).  Each SSLA MP can 
theoretically access CDF fund through the SSLA 
Constituency Committee to fund develop projects within 
his/her constituency.  The bill also included a loan 
program by which MPs can purchase cars, an increase in 
funding for SSLA committees, and various recommendations 
for altering line items contained in the budgets of 
various ministries.  The bill called for less spending on 
international travel, among other recommendations for 
improving GoSS fiscal performance.  Finally, the bill 
noted concern about the "top-down" approach to budgeting 
employed in this cycle, which it termed contradictory to 
a "bottom-up" approach consistent with decentralization. 
 
¶3. (SBU) Various MPs told CG after the approval by 
acclimation of the report that the deal was done, and the 
2006 budget would reflect these changes.  In an SPLM 
caucus before the May 10 session, the majority of SPLM 
MPs supported increased funding for the SPLA drawn from 
the budget reserve.  Five ministers, including Legal 
Affairs Minister Makwei and Youth and Sports Minister 
John Luk Jok, unsuccessfully argued to keep the SPLA 
budget at the proposed initial level and hold the reserve 
for unexpected contingencies.  According to the MPs, both 
GoSS President Kiir and Vice President Riek Machar had 
vetted and approved the SPLA increase.  Although the bill 
did not state how ,QlCZsMQQQQ 
ranks. 
 
¶4. (SBU) Comment:  It is our understanding that the 
higher budget for the SPLA is a one-time arrangement to 
address urgent needs and does not necessarily reflect a 
permanent budget trend.  If the money is spent wisely, 
especially for DDR and necessary military downsizing, the 
increase in the military budget could yield positive 
results.  The GoSS Council of Ministers was much less 
pleased with MPs refusal to budge on funding the CDF. 
This initiative is loosely defined and looks on the 
surface to be a form of mainline pork-barreling.  CG Juba 
will forward a copy of the final 2006 budget as soon as 
it is released.  End Comment 
 
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