UK Court Orders South Sudan to Pay $657 Million to Afreximbank

The High Court in London has ruled that the Government of South Sudan must pay $657 million to the African Export-Import Bank (Afreximbank) after defaulting on a series of loans intended to support trade infrastructure and pandemic-related relief.

On May 8, 2025, Judge Lionel Persey issued a summary judgment in favor of the Cairo-based bank after South Sudan and its central bank failed to respond to the lawsuit or attend court proceedings. The loans in question, totaling $713 million, were issued between 2017 and 2020 and aimed to bolster the country’s economy and respond to the COVID-19 crisis.

Although South Sudan repaid part of the debt, it stopped servicing the loans by 2023. This prompted Afreximbank to file legal action last year. The bank noted it had repeatedly attempted to engage South Sudanese authorities, including through diplomatic channels such as the country’s embassy in London, but received no substantial reply.

In a January 2025 hearing, the bank’s legal representatives described the matter as “a simple debt claim with no arguable defense,” stating that the $657 million covers the outstanding principal and accrued interest.

In September 2023, South Sudan had proposed a debt restructuring plan, suggesting repayment through crude oil shipments. However, the government failed to implement the plan, citing “unexpected challenges” including flooding, regional conflicts, and fluctuating oil prices.

The judgment comes as South Sudan grapples with mounting economic and political pressures, with the United Nations warning of a potential return to civil conflict. The country is still recovering from years of violence that have left hundreds of thousands dead and displaced millions.

Afreximbank is expected to pursue enforcement of the judgment across other jurisdictions to maximize its chances of recovering the funds.