Sudan inflation driven to highest in more than two years

December 15, 2106 (KHARTOUM) – Sudan’s Central Bureau of Statistics (CBoS) on Wednesday reported that inflation jumped in November to the highest level in more than two years.

It pointed out that the rise in inflation rate was accompanied by significant increase in the general price level. Price rises were particularly pronounced for foodstuffs and transportation.

It is noteworthy that the East African nation imports most of its food and medicines.
Sudan’s economy was hit hard since the southern part of the country declared independence in July 2011, taking with it about 75% of the country’s oil output.

Earlier in November, Central Bank of Sudan introduced an incentive policy, increasing the exchange rate in commercial banks by 131%. As a result, the U.S. dollar exchange rate went up in banks to 15.8 SDG from the official rate of 6.5 SDG.

Following the central bank’s decision, the dollar exchange rate registered a new record as the Sudanese pound declined to 19.00 per dollar in the black market.

Also, the government lifted fuel, electricity and drug subsidy in a bid to stop the surge in inflation and control the fall of Sudanese pound in the black market.

The government decision stirred up protests and general strikes across the Sudan.

(ST)