Equity Bank’s Juba branch is under mounting legal pressure after a customer accused the lender of failing to release deposited funds, a dispute that has thrown fresh light on South Sudan’s worsening cash shortages.
A formal demand notice issued last week and reviewed by Eagle News Feed alleges that the Kenyan-linked bank has breached fundamental banking duties by restricting access to customer deposits. The notice warns that civil proceedings will be filed within seven days if the matter is not resolved.
The complaint was lodged by Pan African Law Chambers LLP, a Juba-based firm representing a private client, Jan Yamba Justin. The lawyers claim the bank’s continued inability to honour withdrawal requests has caused prolonged operational disruption and professional harm.
In the notice, advocate Wani Santino Jada states that the client has been “unlawfully denied full and unhindered access” to legitimate banking services, with knock-on effects on both personal obligations and professional activities. The firm further alleges that Equity Bank’s ongoing inaction has resulted in financial losses, reputational damage and professional embarrassment.
The letter warns that failure to act within the stipulated period will trigger a lawsuit by a 13-member legal team seeking damages, costs and close to US$4 million in legal fees.
Also Read: Court Orders KRA to Pay Police Officers After Unlawful Payroll Removal
The standoff is unfolding against the backdrop of South Sudan’s entrenched liquidity crisis. Commercial banks have imposed strict daily withdrawal caps, in some cases below US$10, while ATM services have been suspended across large parts of the country. The cash squeeze has crippled businesses dependent on imports from neighbours such as Kenya and Uganda.
Authorities in Juba have partly blamed the shortage on currency hoarding and weak coordination between the finance ministry and the central bank. In September last year, the Central Bank of South Sudan issued warnings against hoarding and threatened legal action against offenders.
The crisis has also fuelled instability at the top of the financial system. Since the cash crunch began, President Salva Kiir has dismissed five central bank governors in an effort to restore confidence, with limited success.
Equity and KCB, two of Kenya’s largest lenders by assets, both operate in South Sudan. Equity Group’s latest disclosures show that profits from its South Sudan unit slumped 88% to KSh 0.1 billion in the third quarter of 2025, while revenues of KSh 1.2 billion were the lowest among its regional subsidiaries.
