In order for South Sudan to address the economic crisis in the country, the interim government must form a mechanism for a transparent management of public funds, says the European Union.

It says the crisis should also be resolved through comprehensive economic reforms, including measures to eliminate mismanagement and corruption.

The economic-political group says the measures will establish realistic targets for government expenditures.

In a statement, the EU reiterated its call to ensure that the resources of south-sudan are used responsibly for the reconstruction and the recovery of the country.

On the issue of the states, the EU reechoed it’s the call by African Union, urging the South Sudan administration to suspend implementation of the twenty eight states.

“All parties must refrain from any unilateral acts that might undermine the Agreement,” it said in the statement, “the EU supports the Intergovernmental Authority on Development (IGAD) communiqué urging the suspension of any action on implementing the Presidential Decree dividing the country into twenty eight states until a Boundary Commission comprising all parties to the Agreement had proposed states and their boundaries.”

It encouraged the transitional government to work closely with relevant regional and International financial instruments to end the economic crisis.

The EU also expressed concern over the worsening situation in the country and called on the transitional government to allow and facilitate unhindered movement of humanitarian assistance in accordance with international law.

It also highlighted gross human rights committed including civilian killings, rape and recruitment of child soldiers as indicated in a report by the UN Human Rights Commission.

The EU council called for rapid implementation of justice and reconciliation in regards to the August 2015 peace agreement and also called on the AU to form a hybrid court for south-sudan.

It underlined the need for effective implementation of the EU arms embargo on South Sudan, in particular by countries that have aligned with the embargo.

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