IMF affirms soundness of Sudan financial and monetary policies

KHARTOUM, May 3, 2005 (SUNA) — The International Monetary Fund (IMF) has issued its annual report on Sudan economy’s performance for 2001- 2004. The IMF report pointed out that Sudan economy achieved average growth rates amounted to 4.6%.

The non petroleum sector average growth rate was 5.3% and inflation was reduced to a one- digit figure, while investment grew to 22.6% of the gross national product (GNP).

The report pointed out that the exports revenues assisted in building foreign currencies’ reserve as well as raising the government expenditures.

The IMF’s Council of Executive Directors commended the performance of the Sudanese economy in the previous years as it also praised the strong performance of the year 2004.

The IMF’s report explained that the good performance of the economy came as a result of the economic reforms that Sudan has applied in the field of tax revenues, overcoming the growing spending and controlling budget deficit at the targeted level (1% of the gross domestic product, GDP), besides the efforts of Bank of Sudan in maintaining elastic exchange rate.

The IMF announced that the reforms that Sudan has applied since 1997 without any foreign aid put Sudan in a good economic position, particularly when comparing it to the countries that experienced the same post- armed conflicts stage.

The IMF considered the programme of 2005 as an ambitious one and Sudan economy is expected to achieve a growth rate of 8.3%.