Step 1: South Sudan’s independence.
South Sudan officially became the world’s newest recognized sovereign state on 9 July 2011, after a referendum in which an overwhelming majority voted to separate from Sudan. It was admitted as the 193rd member of the United Nations soon after.
Step 2: Eliminating other options.
- (A) Palau: Became independent in 1994, earlier than South Sudan.
- (B) Kosovo: Declared independence in 2008, but it is not universally recognized.
- (C) Eritrea: Gained independence from Ethiopia in 1993.
- (D) East Timor (Timor-Lest(E): Gained independence from Indonesia in 2002.
- (E) South Sudan: Gained independence in 2011, making it the most recent recognized nation.
\[
\boxed{\text{South Sudan (2011)}}
\]