The Transitional Government Economic Policies and The Effects Seminar 

 

26 June,2021

Speaker: Hafiz Mohamed

The seminar aimed to discuss the recent economic policies of the transitional government and to find effective solutions to address the roots causes of the economic crisis.

The policies explained  as follows:

• Unification of the exchange rate
•  Fuel  subsidies removal
• Liberalization of the fuel market
• Adjustments in customs procedures and fees
• Increase in electricity tariffs

The seminar highlighted the ineffectiveness of these measures in stabilizing the value of the Sudanese pound, which continued to decline and match the parallel market rate. This decline significantly increased the poverty rate, pushing large segments of the population into poverty. The government’s failure to address the root causes of the crisis and focusing only on its symptoms led to a rise in inflation.

Additionally, the seminar transparently discussed the opportunities and challenges, threats, and structural imbalances in the Sudanese economy, as well as the implications of these policies and the recent decisions of the Empowerment Removal Committee.

At the conclusion, several solutions and proposals were presented on how to deal with the economic crisis, including:

• Tax reform
• Reform of the banking system
• Development of the agricultural sector
• Youth employment