Agence Ecofin TikTok Agence Ecofin Youtube Agence WhatsApp

Public Management

Sudan’s govt raises gas prices to cut budget gap

Thursday, 29 October 2020 16:54
Sudan’s govt raises gas prices to cut budget gap

(Ecofin Agency) - The Sudanese government will increase fuel prices in the country, Khairy Abdel-Rahman, the Minister of Energy and Mines reported.

According to the official, prices will be doubled. The pump price of locally produced diesel will rise to 46 Sudanese pounds ($0.8364) per liter from 23 pounds previously while the price of gasoline will increase from 28 to 56 pounds.

According to the authorities, the new measure, which comes into effect immediately, is aimed at reducing the state budget deficit. However, at a time when the country is going through an economic crisis manifested by high inflation, a shortage of necessities, and a depreciation of the national currency, this decision could anger many Sudanese who have already been impoverished by the long years of mismanagement by the al-Bashir regime.

For several years now, Sudan has always practiced a policy of subsidizing petroleum products, which has enabled the population to have access to cheaper fuel. However, this strategy has put a heavy strain on public finances and contributed, according to several analysts, to the economic crisis that led to the fall of General Omar al-Bashir in 2019.

As part of an IMF-led reform program, the country decided to "reform energy subsidies to create room for increased spending on social programs. The government also decided to allow importers to increase the price of imported fuel, up to 106 pounds per liter for diesel and 120 pounds for gasoline, well above the price of domestically produced fuel.

Moutiou Adjibi Nourou

Additional Info

  • communiques: Non
  • couleur: N/A
 
Finance


 
Mining


 
Telecom


ECOFIN AGENCY offers a selection of articles translated from AGENCE ECOFIN. Founded in 2011, Agence Ecofin is a leader in Francophone Pan-African economic news, particularly in West and Central Africa. The agency publishes daily news on nine African economic sectors: Public Management, Finance, ICT, Agribusiness, Energy, Mining, Transport & Logistics, Communication, and Training.

AGENCE ECOFIN
Mediamania Sarl
Rue du Léman, 6
1201 Genève
Tél: +41 22 301 96 11

EDITORIAL TEAM
redaction@agenceecofin.com

ADVERTISING SALES
Benjamin FLAUX
bf@agenceecofin.com
Tél: +41 22 301 96 11
Mob: +41 78 699 13 72

 

Please publish modules in offcanvas position.