Sudan peace talks focusing on administration of three disputed areas

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Last updated at: (Beijing Time) Wednesday, January 07, 2004

Sudan peace talks focusing on administration of three disputed areas

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The Sudanese government and the rebel Sudan People's Liberation Army (SPLA) are now focusing on the administration of three disputed areas in the central part of the Sudan, officials said in Nairobi Tuesday.

"We have begun discussions on the status of the contested areas of the Nuba Mountains, Abyei and southern Blue Nile to be followedby power sharing arrangements," SPLA spokesman Samson Kwaje told Xinhua by telephone, a day after the two sides finalized an agreement on how to share the country's wealth.

The government claims the areas fall under its jurisdiction according to arrangements made at the country's independence, while the SPLA says people living in those areas face similar problems to southerners and should therefore be included in the south.

Kwaje said formal negotiations on power sharing have not yet started.

The two sides also have to agree on how to share power before a final peace deal can be signed.

Under the latest agreement, which is due to be officially signed Wednesday, a central bank with two arms will be established:one in the north, applying the Islamic banking system, which does not charge interest on loans, and the other in the south, operating on the basis of the Western system.

The deal is regarded as a major step toward a final peace deal.

The Sudanese dinar would be retained in the north, while the Sudanese pound would be the currency in the south until an overall national currency was established.

They have already agreed on sharing oil revenue during a six-year interim period, splitting state and religion, forming a post-war army and letting the south hold a referendum on independence after the interim period.

In December last year, the government and the SPLA rebels agreed to divide on a 50-50 basis oil resources in the south.

Under the new overall agreement non-oil revenue is to be sharedequally as well.

An oil commission with four representatives from each side and three non-permanent members is to manage the country's oil sector.

Diplomatic sources say this latest breakthrough on the most crucial part of the negotiations should ensure the signing of a final agreement later this month.

The current round of Sudan peace talks in Kenya is being led by Sudanese Vice-President Osman Ali Taha for the government and JohnGarang, head of the SPLA.

Source: Xinhua

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