Home | News    Tuesday 20 July 2021

Sudan’s inflation tops 400% as food prices soar


A Sudanese street vendor sells fruit in Khartoum on June 21, 2016 during the fasting month of Ramadan (AFP photo)

July 19, 2021 (KHARTOUM) — Sudan’s annual inflation rate rose to 413% in June from 379% the previous month, the unprecedented surge was announced by the Central Bureau of Statistics said on Sunday.

The official agency said the food and beverage group stood at 248% relative to 242% in May.

Excluding the food and beverage items, consumer prices averaged 644% which represented a 46% increase.

Across states, the highest rate increase was in Gezira at 202% with the lowest being South Darfur state at 1.33%.

Seven states also recorded a decrease. Topping them was the Central Darfur state at 111% points and the lowest was South Kordofan at 16%.

The Sudanese transitional government undertook several steps this year as part of an economic reform package which included devaluing the currency and removing customs exchange rates as well as lifting fuel subsidies.

These measures while largely unpopular domestically, earned high praises from donors and international financial institutions.

This year Khartoum cleared its arrears with the International Monetary Fund (IMF), World Bank (WB) and African Development Bank (AfDB).

The country also received IMF approval to kick off a debt relief process under the Highly Indebted Poor Countries (HIPC) that will see Sudan external debt drop from $60 billion to $6 billion in a few years.

Last week, the sovereign creditors’ bloc, known as Paris Club, agreed to cancel $14 billion in debt owed by Sudan and restructure the remaining $9 billion.

The Sudanese government also said it is working with non-Paris club creditors to reach similar concessions.


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