U.S. dollar price continues to rise against Sudanese pound

June 16, 2017 (KHARTOUM) – The price of the US dollar has increased in the black market in Khartoum on Friday, settling at 18,8 Sudanese pounds (SDG).

Traders speaking to Sudan Tribune Friday in central Khartoum attributed the increase to dollar scarcity and growing demand in the Sudanese market to import the merchandise for the Eid al-Fitr.

However, they projected the dollar price would pull back during the coming days especially after the Central Bank of Sudan (CBoS) announced it will inject additional amounts of foreign exchange into the market to meet the needs of the pilgrims.

The Sudanese pound has lost 100% of its value since South Sudan’s secession in 2011, pushing inflation rates to record levels given that the East African nation imports most of its food.

Last November, the CBoS 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.

However, this measure didn’t halt the rise of the dollar against the pound in the black market.

(ST)