Economic Development and Dimensions of Poverty

Employment, private sector development and trade are powerful and interdependent drivers for inclusive economic development and poverty reduction. Small and medium-sized enterprises generate over half of all jobs globally and play an important role in low-income countries. Employment is the main source of income for people living in poverty. Trade is an engine for growth and can lead to more and better jobs. Businesses also provide markets and people with essential goods and services. Inclusive, equal education and lifelong learning decreases poverty and secures individuals’ income generating possibilities. However, several factors constrain people living in poverty from accessing markets, participating in the labour market and benefiting from trade and growth. Sida contributes to inclusive economic development and education where people living in poverty can participate and benefit on equal terms. In total, Sida’s interventions in this area amounted to SEK 4.2 billion in 2025, constituting nearly 19 per cent of Sida’s total disbursements.

This report assesses Sida’s South Sudan portfolio across all sectors and strategies in 2019.

Main evaluation method: we reviewed the 32 active contributions in South Sudan, with special focus on the 8 contributions in the South Sudan Strategy.

Positives: Given the pervasive needs and widespread poverty in South Sudan, we find it relevant that Sida’s portfolio of contributions directly address people living in poverty. The widespread poverty in South Sudan has allowed for the target groups to be defined rather broadly (i.e., women and girls being the primary target group).  Nevertheless, our review indicated that specific vulnerable groups, such as people living with disabilities and IDPs are also targeted by the contributions.

Potential shortcomings:  Donors’ efforts to build Government capacity have yielded limited results. Directly addressing people living in poverty has its limitations in terms of sustainability: Sida’s partners deliver primarily direct services or support to the population, rather than indirectly alleviating poverty through institution-building or systems strengthening. However, the challenges of working with the Government leave few viable alternatives.