The exchange rate of foreign currencies against the Sudanese pound in the Sudanese capital Khartoum is witnessing unprecedented rise with the national currency registering a great decline, leading to continued hike in prices of major commodities.
On Tuesday, the exchange price of one U.S. dollar registered 80 Sudanese pounds (SDGs) in the parallel market, while one Euro equals 88 SDGs and one pound sterling nearly 100 SDGs, according to foreign currency dealers in Khartoum.
Kamal Ahmed Yousif, dean of faculty of commerce at Al Neelain University in Sudan, attributed instability of the exchange rate of foreign currencies to weak production, lack of external support and suspension of livestock exports.
“The economic recovery in the country requires ending the war, achieving peace, benefiting from the expatriates’ savings by motivating them and building good external relations,” Yousif told Xinhua.
The Sudanese citizens complained about the continued rise in prices of necessary commodities due to decline of the national currency against foreign currencies.
Marwa Osman, a Sudanese citizen, told Xinhua that “the rise in the exchange prices of foreign currencies against the Sudanese pound has caused a hike in the prices of basic commodities.”
“There is a close bond between the dollar’s exchange price against the Sudanese pound and the rise in the prices of basic commodities, where the merchants use the dollar as an excuse to increase the prices,” she noted.
Another Sudanese citizen Muntasir Abbas told Xinhua that the transitional government in Sudan need to monitor the markets and map out economic policies to curb inflation and control the exchange prices.
Meanwhile, Abdalla Nourain, deputy director of Balad Bank in Sudan, told Xinhua that production is the only way to achieve economic stability in Sudan besides exploring the country’s huge potentialities.
“The only way for economic stability is to stabilize the exchange rate and provide foreign currencies, which cannot be achieved but through production,” said Nourain.
Dealers in the foreign currency market expected that the coming days would witness further rise in the prices of foreign currencies, namely the U.S. dollar, due to what they said high demand and low supply of foreign currencies.
Recently, Sudan’s Finance Minister Ibrahim Elbadawi announced a plan to revive the Sudanese economy after agreeing with the international community on a roadmap.
He said the roadmap starts with a program to rehabilitate the Sudanese economy via providing financial support without payment of arrears and funding Sudan’s budget 2020. Enditem