Sudan receives “large” transfer of cash from foreign source: official

May 13, 2012 (KHARTOUM) – Sudan has received a “large” transfer of cash from unspecified source which would soon cause a 50% jump in the value of the local currency against the U.S. dollar, officials in Khartoum said.

The deputy governor of Sudan’s central bank Badr al-Deen Suleiman said that the funds have already been received by his institution but declined to disclose the source or the amount.

Sources in Khartoum told Sudan Tribune that the latest foreign cash infusion came from Libya.

Suleiman projected that it would have a big impact on stabilizing the Forex market in Sudan.

“The few coming days will witness significant decline in [U.S. dollar] exchange rate,” Suleiman said.

The secession of the oil-rich south last July caused suffered a sharp drop in revenues and foreign currency influx for Khartoum.

The Sudanese pound has lost half of its value against other major currencies and particularly the U.S. dollar which has become scarce in the market.

Last month, U.S. dollar bought 6.1 pounds on the black market, a historic low since the Sudanese pound was introduced in 2007, the traders told Reuters. The official rate has remained about the same, at around 3 pounds to the dollar.

Sudanese officials have pleaded for help with Arab countries and China but so far only Qatar has come forward with a $2 billion investment announcement.

The finance minister Ali Mahmood Abdel-Rasool confirmed Suleiman’s announcement adding that he expects the black market rate to drop by 50%.

(ST)