Sudanese pound devalued by 19%

Sudanese banks yesterday sold US dollars at a rate of 530 pounds, down by 19 per cent compared to the previous rate, after authorities moved to counter a slide in the value of the currency.

The central bank said in a statement that banks and currency exchanges would set their own buying and selling rates without the central bank’s intervention.

An emergency economic committee led by Sudan’s ruling council said it would unify official and black market exchange rates.

The new rate was reported to have been set by both the Bank of Khartoum, Sudan’s largest bank, and the Saudi Sudanese Bank, compared to 445 pounds against the US dollar in the past.

However, the dollar was trading at around 560 pounds on the parallel market.

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Sudan’s economy has come under new pressure as a result of the suspension of significant international support following a military coup in late October.

The army dissolved a civilian government that carried out rapid economic reforms, including a sharp devaluation of the pound as part of a “managed float” policy in February 2021. After that devaluation, the exchange rate remained steady for several months, and the black market almost disappeared before it began to re-emerge in recent weeks.