SUDAN INSIGHT ALERT: al-Taghyeer - Stability of the Sudanese pound: Fears of decline, stability factors

7/9/2021: al-Taghyeer - Stability of the Sudanese pound: Fears of decline, stability factors, by Elfadil Ibrahim

Al-Taghyeer’s feature piece provides contrasting views on the stability of the Sudanese pound.

Economic researcher Babiker Ahmed Abdullah attributes stability to government policies, security campaigns against black market currency traders, Central Bank of Sudan’s currency auctions, adding that stability can be sustained if the state abides by import policies and controls.

Banking expert Dr. Louay Abdelmoneim said the stability is “fake”, a result of increased production and exports, and that the currency auction was “politicised” as they were handed out disproportionately, thereby reducing imports and increasing market prices, leading to a greater reliance on foreign goods and raw materials.

He also warned of an economic collapse once the security campaign ends, given Sudan’s trade imbalance and lack of gross national product increase.

To achieve currency exchange stability, economic analyst Dr. Haitham Mohamed Fathi called for “increasing and improving production quality to meet local needs and reduce imports and increase exports.”