Sudan’s Central Bureau of Statistics (CBoS) has reported that inflation jumped to 34,68% in March from 33,53% in February due to continued increase in food and energy prices.
In November 2016, the government lifted fuel, electricity and drug subsidy for the third time since 2011 in a bid to stop the surge in inflation and control the fall of Sudanese pound in the black market.
Read more: Six Aid Workers Murdered In South Sudan
Also, 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.
Projected deficit in Sudan’s 2017 budget is estimated at 2,1% of the Gross Domestic Product (GDP) compared to 1,6% in 2016.
According to the budget, the growth rate would decline from 6,4% in 2016 to 5,3% and the targeted average inflation rate is 17%.
Prices and services have soared in Sudan since South Sudan seceded in 2011, taking with it three-quarters of the country’s oil output, the main source of foreign currency used to support the Sudanese pound.
The Sudanese pound has lost 100% of its value since South Sudan’s secession, pushing inflation rates to record levels given that country imports most of its food.
Citizens continue to complain from cost of living increases that impaired their access to basic commodities.
Copyright © 2003-2019 SudanTribune - All rights reserved.