Accelerating Economic Collapse in Sudan Under NIF/NCP Regime

Ignored by the international community, but causing vast suffering and destruction among ordinary Sudanese

Eric Reeves | November 2018 | https://wp.me/p45rOG-2jj

Recent months have revealed clearly that the desperate policy responses of the National Islamic Front/National Congress Party regime have plunged Sudan deeper into a toxic state of extremely high inflation—with a currency that is in free fall—and a catastrophic lack of monetary liquidity. Coupled with the almost complete lack of foreign exchange currency (Forex), these circumstances have produced acute shortages of essential foodstuffs and medicines. Malnutrition is rising and the agricultural sector is withering. Violence on farms and against farmers in Darfur is increasing during the harvest season, and Ethiopian militias operate with impunity in parts of the most agriculturally productive regions of eastern Sudan.

All the while the regime functions as a kleptocracy, protecting its monopoly on national wealth and power with vast expenditures on the military and security services, even as gross self-enrichment and politically expedient cronyism continue. A consensus figure among economists puts the portion of the national budget devoted to these services at roughly 70 percent. There is not nearly enough remaining for medical care, the agricultural sector, education, and infrastructure (including pumping and securing of clean water).

Journalists in Sudan reporting on economic conditions are subject to arrest and newspapers to financially crippling confiscations.

Radio Dabanga—and to a lesser extent Sudan Tribune—report regularly and in detail on economic conditions throughout Sudan. The views of Sudanese economists are regularly solicited and published; unanimously, they see the macroeconomic conditions in Sudan as catastrophic and destined to lead to collapse and social violence on a scale we have not seen. International reporting, severely limited as it is, offers only a superficial view of conditions. Recent pieces by Reuters and Voice of America are useful in offering glimpses into the harsh and deteriorating realities facing Sudanese, but are far too circumscribed.

The world could acknowledge and respond to the desperate economic conditions in Sudan; the information has been made readily available by Sudanese news sources; however, key actors—Europe, the U.S., the UN, the African Union, and others—choose to look away from a massive catastrophe in the making for various narrowly self-interested reasons.

I offer here a relatively complete (and hence quite lengthy) compendium of reports from the past three months bearing on the Sudanese economy. The dispatches are unedited, although highlights in bold have been added to facilitate efficient reading. They are organized by topic, and roughly by date, under the following categories:

Macroeconomic assessments by Sudanese economists, including commentary focusing on inflation, the almost complete lack of Forex in the Central Bank of Sudan (and hence the inability to import crucial commodities), and the plummeting value of the Sudanese pound;

The growing collapse of the agricultural sector, largely for lack of sufficient cash liquidity to purchase fuel, insecticides, and other resources necessary for farming (it is critical to remember that agricultural production is central to the Sudanese economy, employing over 75% of the work force and generating as least a third of GDP.

Shortages—particularly of food, fuel, and medicines—resulting from a lack of imports, extremely high inflation, lack of liquidity, and a deteriorating agricultural sector;

Violence in Darfur directed against farmer and farming activities (it is now at the height of the harvest season)

As a further introduction to this large compendium, I offer representative excerpts, giving some sense of the broader economic situation in Sudan, particularly as seen by Sudanese economists:

[1] Moderating committee brings no respite in rise of US Dollar against Sudanese Pound | Radio Dabanga, October 24, 2018 | KHARTOUM

The Market Makers Committee (MMC), established by the Sudanese government earlier this month to determine foreign exchange rates has failed to curb the increasing US Dollar (USD) rates against the Sudanese Pound (SDG) in the parallel forex market. Traders predict the greenback will soon reach SDG 60. Yesterday, the Dollar rate rose to more than SDG 52 for cheques and to SDG 49 for cash, while the official rate, set by the MMC and quoted by the Central Bank of Sudan (CBoS) remained at SDG 47.

Economic analyst Kamal Karar has predicted that the dollar will rise to more than SDG 60 in the coming period. He told Radio Dabanga that the Dollar has continued to rise in the parallel market despite the attempt by the mechanism of market makers to determine prices based on market movement. He describes the establishment of the mechanism as a legalisation of speculation in currency. He told Radio Dabanga that the government’s printing of a new currency of SDG 500, SDG 200 and SDG 100 will lead to inflation rates by more than 80 per cent without addressing the liquidity crisis in the country.

Karar pointed to the loss of confidence in the banking system, explaining that people would prefer to keep their money at home, which will lead to the continuation of the liquidity crisis.

The important consequences of a liquidity crisis have become especially evident in recent months—ER]

[2] Sudanese economists: “Khartoum must stop the wars first” | Radio Dabanga, September 13, 2018 | KHARTOUM

In order to tackle the country’s economic crisis, the Sudanese government should stop the wars in the country. Khartoum should create an appropriate climate for investment and industries and combat corruption, economic experts say…

According to Professor Hamid Eltigani, Head of Public Policy and Administration at the American University in Cairo, the government should be more realistic. “The government can significantly reduce its expenditure by stopping the wars in Darfur, Blue Nile and the Nuba Mountains [in South Kordofan],” he said. “Moreover, new production projects need years of planning and implementation.”

[This would seem obvious, and yet—facing no real international pressure from key world actors—the regime continues to devote inordinate national resources to wars on its peripheries, where marginalized Sudanese populations refuse to yield to Khartoum’s tyranny—ER]

[This is an astonishing distinction, and yet is entirely consistent with the fact that the regime has long functioned as a kleptocracy, using national revenues to buy political support through spending practices—ER]

“Yet, the main problems of the Sudanese economy, the collapse of infrastructure, extremely poor services, and a monopolised private sector, need much more interventions,” he added. “All indicators for a successful implementation of the five-year programme that ends next year are low,” he stated. “There are no positive signs, except for the gold mining industry, which depends on traditional prospecting.” The economist conditioned a successful implementation of any economic reform programme with an appropriate investment and industry climate, enhancement of the efficiency of the executive bodies, and clear transparency and accountability procedures.

[3] Fears of economic collapse as Sudan inflation continues to climb | Radio Dabanga, July 22, 2018 | KHARTOUM

Economic analyst Abdelhadi Ibrahim has warned of the consequences of Khartoum’s financial policies. “The economic collapse will most probably be accompanied by a breakdown of the remaining security structures and to social disintegration,” he told Radio Dabanga.

[The world is evidently content to ignore the growing inevitability of what Professor Ibrahim calls “social disintegration”; but we may be sure that even in its death throes, the current regime will loose its security forces with “shoot to kill” order, as it did in September 2013 and as President al-Bashir threatened to do in the run-up to popular protests planned for December 2016—ER]

He attributed the soaring inflation and the continuing fall of the Sudanese Pound rates to “the over-borrowing from the banks, the printing of large amounts of extra banknotes, the increased production costs and import fees, and the lack of exports.” Ibrahim called on the government to recognise the failure of its economic policies and develop an emergency plan to finance production projects in order to avoid the collapse of the country – which will entail a serious food crisis as well.

[Inflation is currently running, according to official statistics, at about 70% year over year; however, Professor Steven Hanke, Senior Fellow and Director of the Troubled Currencies Project at the Cato Institute, estimated that real inflation in Sudan at the time running at 122%, second only to Venezuela’s hyper-inflation rate. Sudan itself may soon experience the crippling effects of hyper-inflation—ER]

Following new increases in the prices of food and other basic consumer goods in Sudan last week, economic analysts are warning of an imminent economic collapse. While the value of the Sudanese currency continues to fall, the country’s Central Bureau of Statistics (CBoS) reported last week that the inflation rate in June rose to 63.86 per cent .

[Since July, the CBoS has increased its reported inflation figure to 67%—ER ]

Earlier this month, former banker Ismail Mohamed criticised the measures taken by the government to combat the crisis: “While the economy needs stimulating measures so it can start growing, they are using deflationary measures like restricting borrowing from banks and reducing the liquidity – which will deepen the recession even further.”

[Notably, the Director of the Department of Consumer Affairs at the national Ministry of Finance in Khartoum, Adil Abdelaziz, acknowledged an increase in commodity prices of 100 per cent [!] during the current quarter of this year, which has affected the various levels of Sudanese society. Radio Dabanga, November 1, 2018—ER]

[4] Sudan: Economists denounce Al Bashir’s “new emergency plans” | Radio Dabanga, September 12, 2018 | KHARTOUM

Sudanese financial experts have downplayed the effects of the reduction of government expenses as announced by President Omar Al Bashir on Monday. In his address to the nation, the president reported the dissolution of the National Reconciliation Government. The ministries are to be reduced from 31 to 21. The number of ministries in the states will be downsized as well.

Professor Hamid Eltigani, Head of the Department of Public Policy and Administration at the American University in Cairo, however ridiculed Al Bashir’s economic emergency programme “after nearly 30 years in power.” He described the president’s new plans as “an attempt to market himself in preparation for the general election in 2020.”

[5] Economists: “Liquidity crisis ongoing in Sudan” | Radio Dabanga, August 8, 2018 | KHARTOUM

Sudanese economists and economic analysts lament that the liquidity crisis is ongoing in the country; employees in the government sector are the most affected by the cash crisis.

Economic analyst Kamal Karrar told Radio Dabanga that the crisis also plagues sectors other than employees due to the exit of large amounts of liquidity from the banking system. He attributed the main cause of the crisis to the bank administrations’ use of customer deposits on the pretext of investing in an unknown area. He explained that the crisis led to a decline in confidence in the banking system and the expectation of the continued reluctance of citizens to deal with banks for long periods. Karrar ruled out the impact of pumping South Sudan oil on the foreign exchange rate in the country.

[6] Economist: “Sudan 2019 budget faces financing challenges, spreading corruption” | Radio Dabanga, October 31, 2018 | KHARTOUM

Prof Hasan Bashir, Professor of Economics at El Nilein University, says that Sudan’s 2019 National Budget will face the main challenges related to the provision of financial resources for financing both local and foreign currency, in addition to planning programmes and the executive side related to a weak civil service and the spread of financial and administrative corruption.

Prof Bashir said in an interview with Radio Dabanga that the budget this year has significantly affected the purchasing power and incomes of individuals, which led to low tax revenues. He pointed out that indirect taxes and fees have peaked, and that the Prime Minister stressed not to impose more taxes or lift subsidies.

[7] Sudan’s diplomats, officials accused of trading forex on black market | Radio Dabanga, September 27, 2018 | KHARTOUM

Sudan’s former Undersecretary of Trade, Mohamed Nur Hamid, has accused ambassadors and officials of selling foreign currency on the black market. Speaking at a forum in Khartoum on Tuesday, he said “ ambassadors and officials change their foreign currency on the black market while they want us to change it in the banks.”

[More despicable corruption on the part of the regime, corruption that denies the economy vitally needed cash liquidity—ER]

The Union of Banks held the Bank of Sudan (CBoS) responsible for the liquidity shortage and expected further drying-up of liquidity following its recent decisions. The union explained that 90 percent of the cash mass has moved out of banks. Traders and businessmen complained of a worsening liquidity crisis in banks and considered the CBoS announcement to address the liquidity crisis within two weeks as “mere painkilling rhetoric”.

Liquidity crisis

Leading economist Dr Sidgi Kaballo asserts that the ongoing liquidity crisis in Sudan stems from lack of confidence in the banking system and poor treasury cash-flow management.

• Economist: “Sudanese have lost confidence in banks” | Radio Dabanga, September 10, 2018| KHARTOUM

Leading economist Dr Sidgi Kaballo asserts that the ongoing liquidity crisis in Sudan stems from lack of confidence in the banking system and poor treasury cash-flow management.

Sudan’s Minister of International Cooperation, Idris Suleiman, has remarked that one of the causes of the liquidity crisis in the country is that 90 percent of the cash mass is being circulated outside the banking system.

However, Dr Kaballo questions this figure. Kaballo explains that the localities, the states, and the centre, receive their levies and royalties in cash rather than cheques, which means a flow of liquidity into the state treasury; however the state pays the salaries of workers in cheques through banks.

• Onion price soars in Darfur, Sudan Finance Ministry acknowledges consumer woes | Radio Dabanga, November 1, 2018| DARFUR / KHARTOUM

Sudanese economist Dr Feisal Awad described the liquidity crisis as being “made-up for covering-up a real crisis that exists and to mislead people about the fact of inflation.” He told Radio Dabanga: “The liquidity crisis will have catastrophic consequences, like other crises in other fields and situations, which have created additional crises that are difficult to predict.”

COMPENDIUM PROPER

[I] Views of Sudanese economists/macroeconomic news concerning inflation, currency devaluation, shortages (dispatches in full):

[II] Threats to agricultural sector

[III] Commodity shortages

[IV] Violence in Darfur affecting farming and food productions

[I] VIEWS OF SUDANESE ECONOMISTS/MACROECONOMIC NEWS OF PAST THREE MONTHS

• Moderating committee brings no respite in rise of US Dollar against Sudanese Pound | Radio Dabanga, October 24, 2018 | KHARTOUM

Economic analyst Kamal Karar has predicted that the dollar will rise to more than SDG 60 in the coming period.

He told Radio Dabanga that the Dollar has continued to rise in the parallel market despite the attempt by the mechanism of market makers to determine prices based on market movement.

He describes the establishment of the mechanism as a legalisation of speculation in currency.

Printing currency

He told Radio Dabanga that the government’s printing of a new currency of SDG 500, SDG 200 and SDG 100 will lead to inflation rates by more than 80 per cent without addressing the liquidity crisis in the country. He explained that the printing of new categories of currencies without the withdrawal of the old ones would lead to an increase in the mass of cash in proportion to the growth rates in the country, which would lead to further rise in prices, and deterioration of the currency.

Karar pointed to the loss of confidence in the banking system, explaining that people would prefer to keep their money at home, which will lead to the continuation of the liquidity crisis.

On Monday, the Director of the Bank of Sudan, Mohamed El Kheir El Zubeir, announced the issuance of a new currency category (100-200-500) Pounds to address the crisis of cash without announcing the date to be put to the public. He acknowledged in press statements the high inflation rates since April 2016. El Zubeir pledged to address the problem of availability of those categories by providing the needs of currency printing to work at maximum capacity.

• Sudanese economists: “Khartoum must stop the wars first” | Radio Dabanga, September 13, 2018| KHARTOUM

In his speech to the nation on Monday, President Omar Al Bashir introduced a “comprehensive political and economic reforms” programme to solve the current crisis in the country. The new emergency measures aim to stimulate production, increase exports, and control imports. They will include “specific projects with direct returns, in order to boost performance and achievements in the macro-economic sectors,” he said. The number of ministries will be reduced from 31 to 21. The number of ministries in the states will be downsized as well.

According to Professor Hamid Eltigani, Head of Public Policy and Administration at the American University in Cairo, the government should be more realistic. “The government can significantly reduce its expenditure by stopping the wars in Darfur, Blue Nile and the Nuba Mountains [in South Kordofan],” he said. “Moreover, new production projects need years of planning and implementation.”

As for the chronic shortage of hard currency and cash money in the country, Eltigani said that Al Bashir is counting on rapidly-earned revenues. “From the gold industry, South Sudan payments of its outstanding oil debts and compensation for the destruction of the oil-rich Heglig area, in addition to foreign grants and loans.”

Infrastructure

Dr Hasan Bashir, Professor of Economics at El Nilein University in Khartoum, doubts the impact of the new measures as well. “Reducing the number of ministries is a good step. The percentage of government spending in Sudan is the largest in the world, compared to the Gross Domestic Product,” he told Radio Dabanga on Tuesday. “Yet, the main problems of the Sudanese economy, the collapse of infrastructure, extremely poor services, and a monopolised private sector, need much more interventions,” he added.

“All indicators for a successful implementation of the five-year programme that ends next year are low,” he stated. “There are no positive signs, except for the gold mining industry, which depends on traditional prospecting.” The economist conditioned a successful implementation of any economic reform programme with an appropriate investment and industry climate, enhancement of the efficiency of the executive bodies, and clear transparency and accountability procedures.

Expenditure

Former Finance Minister Ezeldin Ibrahim, as well pointed to the high the government do more to bring down its expenses. He estimates the total expenditure of the now dissolved 31 ministries to be about SDG 127 trillion. “After the reduction of ten ministries, only SDG 43 trillion will be saved,” he told El Sudan El Yoam on Wednesday. The costs for Sudan’s 16,000-vehicle fleet total about SDG 96 trillion. The monthly expenditure for the state parliaments amounts to nearly SDG 3 billion a month.

Former Investment Minister Mubarak El Fadil responded on Al Bashir’s new plans by saying that the economic crisis in the country “cannot be tackled except by the completion of normalisation of the relations with the USA.”

At a news conference in Khartoum on Wednesday, he proposed that the government should first seek to fulfil the conditions for this normalisation and stop the war in Darfur and the Two Areas, and the gagging of the opposition. The lifting of the last sanctions and debt forgiveness will allow the government and the private sector to obtain loans needed for development, he said.

Crisis

The former Investment Minister accused companies owned by government officials and by affiliates of the ruling National Congress Party of being behind the current financial crisis. “They are pushing the currency rates on the parallel market upwards by buying large quantities of US Dollars, and putting the money on foreign accounts.” El Fadil further claimed that the independence of the Central Bank of Sudan has contributed to the financial crisis. Former director of the Central Bank of Sudan Hazim Abdelgadir “was unique in monetary policy,” he said. “He issued 21 publications without prior consultation with the government.”

Sudan is suffering from a chronic lack of hard currency and cash, while the exports are dwindling. High inflation figures caused a severe drop in purchasing power among the Sudanese since early January, after the government implemented major austerity measures. The country is also witnessing recurrent fuel and wheat shortages. Several economists have warned for an economic collapse.

• Fears of economic collapse as Sudan inflation continues to climb | Radio Dabanga, July 22, 2018| KHARTOUM

Following new increases in the prices of food and other basic consumer goods in Sudan last week, economic analysts are warning of an imminent economic collapse. While the value of the Sudanese currency continues to fall, the country’s Central Bureau of Statistics (CBoS) reported last week that the inflation rate in June rose to 63,86 per cent.

The US Dollar rose two Pounds within ten days on the parallel forex market in Khartoum. On Thursday, the greenback sold for 46 Sudanese Pounds, up from 44 Pounds on July 11.

Economic analyst Abdelhadi Ibrahim has warned of the consequences of Khartoum’s financial policies. “The economic collapse will most probably be accompanied by a breakdown of the remaining security structures and to social disintegration,” he told Radio Dabanga.

In June, Saudi Arabia allegedly promised Khartoum to support an economic development programme over the next five years.

Currency crisis

On Thursday, the Ministry of Finance reported an acute shortage of foreign currencies, causing the rise of the forex rates at the parallel market. State Minister of Finance Tarig Shalabi told the press in Khartoum that the ministry would address the crisis with a number of measures including new cuts in the import of so-called non-essential goods. He said that the government expenditure should be curtailed, and exports increased.

According to economist Hamid Eltigani, professor at the American University in Cairo, the rise of the exchange rate can be attributed to the increased demand. “The Dollar is no longer a means of exchange but a means of saving money,” he said last week. He predicted a Dollar rate of SDG 100 by the end of this year.

Prices

In January, the director of the Troubled Currencies Program at Johns Hopkins University Steve Hanke said Sudan’s inflation rate jumped to a record high of 122 per cent, “the second highest inflation rate in the world after Venezuela.”

If high inflation persists, it can have a major effect on the econometric-social structure of a country. It tends to create a two-class system, eliminating the middle-class. Inflation can occur when a country prints too much of its currency and it loses value relative to other currencies. Earlier this month, former banker Ismail Mohamed criticised the measures taken by the government to combat the crisis: “While the economy needs stimulating measures so it can start growing, they are using deflationary measures like restricting borrowing from banks and reducing the liquidity – which will deepen the recession even further.”

The Sudanese government seeks to achieve an average inflation rate of 19.5 per cent by the end of the 2018 fiscal year (compared to 34.1 per cent in 2017).

• Sudan: Economists denounce Al Bashir’s “new emergency plans” | Radio Dabanga, September 12, 2018| KHARTOUM

The reshuffle is part of a major plan to combat the crises in the country by “comprehensive political and economic reforms”, he said. The government has developed “an urgent emergency programme that includes specific projects with direct returns, in order to boost performance and achievements in the macro-economic sectors”. The new programme is expected “to improve the livelihoods of the Sudanese within a defined time”.

Professor Hamid Eltigani, Head of the Department of Public Policy and Administration at the American University in Cairo, however ridiculed Al Bashir’s economic emergency programme “after nearly 30 years in power”. He described the president’s new plans as “an attempt to market himself in preparation for the general election in 2020.”

“The replacement of mister Ahmed with mister Mohamed can never be a solution to the country’s huge economic crisis,” he told Radio Dabanga. “The structural problems of the country’s economy, related to a very weak production sector, the bankruptcy of most factories, a lack of liquidity, and almost no access to loans, should be tackled instead.”

Dr Hasan Bashir, Professor of Economics at El Nilein University in Khartoum, affirmed the weakness of the plans. “The announced measures are economically limited and will hardly have any impact on the Sudanese markets,” he told this station. “The executive and legislative branches, and the bodies of the ruling National Congress Party require restructuring as well,” he said. “Reducing the number of ministries is a good step,” the professor added. “The percentage of government spending in Sudan is the largest in the world, compared to the Gross Domestic Product.”

The Sudan Call described “the new measures of the Khartoum regime” as “just movements within the society club called government.”

The change “will not resolve the crisis of living for the Sudanese, nor will it bring peace or stability in the country,” the Sudanese opposition alliance said in a statement on Tuesday. “It is just an attempt to divert the attention […] from Al Bashir’s grip and the grip of his family on […] the country’s resources.”

The reshuffle of the cabinet is the second one this year. In May, Al Bashir announced a new government as well. A political expert told Radio Dabanga at the time that the changes in the cabinet were an attempt to muffle rising public discontent about the increased taxes and skyrocketing prices in the country. In his speech on the occasion of Eid El Adha in end August, Al Bashir said that he will drastically review the macroeconomic policies in the country, and adopt new measures to stimulate production, increase exports, and control imports.

Recent deals

On Saturday, the Sudanese government announced the formulation of a roadmap for the implementation of economic, financial, banking and commercial agreements signed with Turkey, concerning gas, oil, minerals, agriculture, and livestock projects, Sudan Tribune reported on Tuesday. The South Sudanese Minister of Oil recently announced that will soon pay the country’s outstanding oil debt of $1.2 billion to Sudan.

In June, Saudi Arabia allegedly promised Khartoum to support an economic development programme over the next five years. On September 3, Radio Dabanga reported that China will grant Sudan $58 million and an interest-free loan of $30 million.

• Economists: “Liquidity crisis ongoing in Sudan” | Radio Dabanga, August 8, 2018| KHARTOUM

Sudanese economists and economic analysts lament that the liquidity crisis is ongoing in the country; employees in the government sector are the most affected by the cash crisis.

“The current decrease in the Dollar’s exchange rate has nothing to do with the announcement of the start of the pumping of oil of South Sudan through Port Sudan, but it is related to the decrease in demand for foreign currency after the start of the festival of pilgrimage.”

Foreign exchange gap

He said that the revenues of oil transit do not exceed $400 million while the foreign exchange gap exceeds billions of Dollars. He stressed that the foreign exchange crisis can only be addressed by increasing production and exports. As reported by Radio Dabanga in June, Sudanese banks and forex offices are witnessing an acute shortage of liquidity. The Minister of Finance pledged to tackle the situation while economists strongly criticise the recently adopted Foreign Exchange Regulation Bill.

August salaries

The Ministry of Finance announced its commitment to pay the salary of August 2018, coinciding with the payment of Eid El Adha (expected to start on August 21) to all employees in the centre and the states in advance of the Eid. Acting Minister of Finance Majdi Hasan Yasin pointed to the transfer of salary amounts and the Eid grant to the states to the commission for the allocation and control of revenues in the next two days to transfer them to different states.

• Sudanese pound continues to plunge against U.S. dollar | Sudan Tribune, October 27, 2018 (KHARTOUM)

The exchange rate of the U.S. dollar on Saturday went up to 53,00 Sudanese pound (SDG) on the black market. Earlier this month, The Central Bank of Sudan (CBoS), formed a body of bankers and exchange bureaus to set the official exchange rate on daily basis.

The move was part of a package of financial and monetary measures designed to tackle the deepening economic crisis in the east African nation. The government body on Saturday set the purchase price of the U.S. dollar at 47,00 Sudanese pounds while the selling price was put at 47,23 pounds. Traders speaking to Sudan Tribune Saturday in central Khartoum said the purchase price of the U.S. dollar through cheques has reached 53,00 pounds while the cash purchase was 50,00 pounds.

It is noteworthy that due to the lack of liquidity in the banks, U.S. dollar carries two prices on the black market. The purchase price by cheques is usually higher than the cash price. The same traders said the demand for the dollar has continued to increase despite the recent government measures, pointing to customers’ lack of trust in the banking system.

They added the security services have carried out large arrest campaigns against money traders in an attempt to curb the rise in dollar price. Last February, the government introduced a number of measures to curb the rise in dollar price including limiting cash withdrawal from banks to absorb liquidity, cracking down on black market Forex traders and restricting imports. Economic conditions in Sudan have been challenging since the secession of South Sudan in 2011 and the loss of the bulk of oil production and exports. The withdrawal of South Sudan oil has compounded the difficult external environment, including debt arrears, limited access to external financing, U.S. sanctions, and the withdrawal of correspondent bank relations.

The most recent International Monetary Fund (IMF) report indicated that Sudan’s gross international reserves remained very low in 2017 ($1.1 billion, 1¾ months of imports).

• Sudan Pound plummets against US Dollar – market volatile | Radio Dabanga, October 8, 2018| KHARTOUM

On Sunday, the newly established Market Makers Committee appointed by the Sudanese government to determine foreign exchange rates announced the exchange rate of Sudanese Pound against the US Dollar at SDG 47.5. On the parallel market, traders reported “confusion” and a high of SDG 51 for the greenback on the streets of Khartoum.

The committee said it would set the price daily at 7 am so that banks can work according to the exchange rate of the day. The new independent mechanism which includes bank managers, foreign exchange experts and economists, has been formed from outside the government to determine the exchange rate of the Sudanese Pound against foreign currencies. The committee has been formed as part of a series of measures designed to address the current economic crisis in Sudan.

Parallel market

Parallel market traders said confusion and chaos prevailed in currency markets after the Market Makers’ mechanism set the Pound rate at 47.5 Pounds against the US Dollar. The new exchange rate is intended to attract earnings and the savings of expatriates to the public treasury of the state.

Economist: “Dollar could reach SDG100”

Prof Hamid Eltigani, Head of Public Policy and Administration at the American University in Cairo, predicts that the price for the Dollar will reach 100 Pounds. He said in an interview with Radio Dabanga that “by forming a committee of market makers the government is hoping to provide a sufficient amount of Dollars to manage the affairs of the state, but the real problem is the scarcity of the Dollar which will continue to rise up to 100 Pounds”.

Prof Eltigani predicted the bankruptcy of Sudanese banks soon and that the matter is a matter of time.

He explained that “the people have lost confidence in the banking system and turned the economy into a monetary economy in which they prefer to keep their money in the form of Dollars or gold because of the continuous decrease in the price of the Sudanese Pound.”

Radical economic reform

According to Eltigani, the only solution to save money now is for the government to get a short-term loan to secure enough Dollars for a year or a year and a half, while at the same time, radically reforming the economy. He, however, ruled out Sudan’s receiving a loan from the International Monetary Fund, friendly countries, or Gulf States, after Al Bashir had announced his intention to stay beyond 2020.

He said that the presence of more than one price for the Dollar in the system of one state is indicative of a big problem, where the official price of the Central Bank of Sudan is SDG6, the price of customs and government transactions SDG18, the price of the market makers SDG47 and the price of the black market at SDG 52 Pounds – a difference of 200 to 300 per cent.

Eltigani believes the consolidation of these many prices needs a loan that provides stability for some time, but obtaining such a loan requires a settlement with the international community; which entails that Al Bashir has to step down from power.

Printing cash

The CBoS has started printing a new denomination of currency. The initiative is aimed at solving the current liquidity crisis in the country, however critics question the wisdom of the move. According to the official Sudan News Agency (SUNA), informed sources at the CBoS say that the 100-Pound denomination is now being printed. The CBoS source says a campaign will be organised to introduce the new denomination and its security features before it is put into circulation.

“The printing of the new currency denomination has positive effects in solving the problem of the cash shortage at the moment, but it needs close follow-up by the CBoS to the position of deposits and withdrawal of the amounts exceeding the need of the economy.”

Liquidity crisis

Sudan is suffering from a chronic lack of hard currency and cash, while exports remain low. High inflation figures caused a severe drop in purchasing power among the Sudanese since early January, after the government implemented major austerity measures. The country also witnessed repeated fuel and wheat shortages. Several economists have warned for an economic collapse.

In a speech to the Parliament last week, President Omar Al Bashir said that Sudan has passed through a rise of prices and scarcity of liquidity, and will continue to do so in the future.

Import measures

In a press statement following an emergency meeting with the cabinet on Thursday, President Mohamed El Zubeir announced new import and export measures, including cancellation of the ban on the import of 17 luxury goods. Instead of concentrating on adjusting customs fees rates, the import “will be rationalised,” he said.

• Economist: “Sudan 2019 budget faces financing challenges, spreading corruption” | Radio Dabanga, October 31, 2018| KHARTOUM

Debt forgiveness

He said the availability of funding for the budget is subject to political factors related to the improvement of the political situation at home and Sudan’s relations at regional and international levels leading to debt forgiveness and benefiting from the initiative of poor countries. The economist described the mechanism of market makers as not reducing the exchange rate or to helping the government implement programmes, pointing to the steady increase in the Dollar exchange rate.

He considered the austerity measures announced last week by Sudan’s Prime Minister and Minister of Finance Motaz Mousa as the first of its kind since the secession of South Sudan, but said that the amounts provided will not have a significant effect. He says that the largest spending is on security, defence, and administrative inertia at state, locality, and legislative council levels. He warned that the recent economic measures negatively affect the economy with high rates of inflation and low exchange rate, explaining that the import will be at the new price of the Dollar, which leads to further rises.

• Inflation in Sudan rise to 66.94%, as US dollar price pushes up | Sudan Tribune, September 16, 2018 (KHARTOUM)

Sudan’s inflation rate has risen to 66.82% in August compared to 63,94% in July, reported the Central Bureau of Statistics (CBoS) in its monthly bulletin on Saturday. Economic conditions in Sudan have been challenging.

• Protests in Sudan’s El Gezira against 100% trade tax increase | Radio Dabanga, August 6, 2018| HASAHISA

Merchants in El Hasahisa in El Gezira state kept their shops closed on Sunday morning, in protest against the increase of the annual trade taxes by 100 per cent. A trader told Radio Dabanga from El Hasahisa that most of the shop owners kept their shops closed until noon.

He described the taxes increase, imposed by the federal government, as “excessive” and said that the traders will take “all legal steps to counter the decision.”

Crisis

At the end of 2017, the Sudanese government decided on a package of austerity measures in an attempt to address the huge gap in its finances. Khartoum’s priorities did not change: more than 70 per cent of its spending is still allocated to the defence and security sectors, less than 10 percent will be spent on health and education.

In addition to major tax increases, customs duties were raised by more than 200 per cent – which immediately affected the prices of most of the goods in early January. The government further decided to liberalise the flour market which lead to the doubling of the bread prices.

Because of a negative trade balance, Sudan is suffering from a severe hard currency crisis. The indicative exchange rate of the Sudanese Pound against the US Dollar was devalued twice, in early January from nearly SDG 7 to SGD 18, and in early February to nearly SDG 30. Yet, the US Dollar rate in the parallel forex market which settled at SDG 30 in January began to rise again in February, and reached SDG 46 in mid-July. The inflation rate rose to 63,86 per cent in June. Following new increases in the prices of food and other basic consumer goods in Sudan in mid-July, economic analysts began to warn for an imminent economic collapse.

• Sudan’s diplomats, officials accused of trading forex on black market | Radio Dabanga, September 27, 2018| KHARTOUM

Liquidity crisis

Leading economist Dr Sidgi Kaballo asserts that the ongoing liquidity crisis in Sudan stems from lack of confidence in the banking system and poor treasury cash-flow management.

• Economist: “Sudanese have lost confidence in banks” | Radio Dabanga, September 10, 2018| KHARTOUM

Leading economist Dr Sidgi Kaballo asserts that the ongoing liquidity crisis in Sudan stems from lack of confidence in the banking system and poor treasury cash-flow management.

Speaking to Radio Dabanga, Kaballo attributed the liquidity crisis in banks to poor management pursued by the banking system. “The first reason is the failure of banks to maintain liquid assets at a certain rate and the second reason is the lack of confidence in the banking system which prompts customers not to save their money in banks,” he said. The Minister of International Cooperation Idris Suleiman has expressed concern at the emergence of what he called “the liquidity trade and interest transactions taking advantage of the liquidity crisis.”

However, Kaballo said that “the liquidity trade, which the minister considers a kind of usury, is carried out by the National Congress Party traders who have the liquidity now. The liquidity trade contributes to the further deterioration of the Sudanese Pound (SDG).

Management

“Good bank management requires that some assets be liquidated in order to meet the demand for cash by selling semi-liquid assets of bonds and savings rather than to print currency without balance as the government did.” Minister Suleiman considers the emergence of the parallel economy in gold, the US Dollar (USD), and the British Pound (GBP) as one of Sudan’s biggest economic problems.

Kaballo asserts however that printing currency to buy gold is not harmful to the economy and is a perfectly sound procedure, but the question is how to dispose of the produced gold.

Kaballo believes that either the gold produced is smuggled or its revenues from hard currency do not return to the treasury to support the currency or productive activities for the economy.

He said that the state in its current form is not qualified to manage the country’s wealth for the benefit of the people.

Chronic cash shortage

The shortage of cash is now chronic in Sudan. The run-up to Eid El Adha last month saw rushes on banks. The capital Khartoum and its suburbs saw early morning crowds to get a little of their savings to cover their Eid needs to no avail. A bank source said there were no funds in the coffers of the Bank of Sudan to be disbursed to banks to meet customers’ demands. As reported by Radio Dabanga on August 16, the Central Bank of Sudan (CBoS) issued an oral order to banks reducing the amount of cash withdrawals to customers from SDG 2,000 (*$70) to SDG 1,000 ($35).

• Russia’s investments in Sudan suffer from lack of funding: envoy | Sudan Tribune, October 24, 2018 (KHARTOUM)

Russia’s Ambassador to Khartoum, Vladimir Zheltov, said the implementation of the Russian economic projects in Sudan is facing a number of obstacles particularly lack of funding.

In an interview with Sputnik News Service on Wednesday, Zheltov said despite the significant attention given by the Sudanese and Russian governments “these economic projects may be postponed indefinitely due to lack of money.”

He pointed out that funding always adversely impact on their desire to further economic cooperation, saying the role of the private sector is decisive to the success of economic projects.

Politically, Russia is seen as a major ally of the government of al-Bashir that faces isolation from the West. However, economic cooperation between the two countries has remained very low, with a trade balance that does not exceed $400 million. In December 2015, Sudan and Russia signed 14 cooperation agreements in different domains, including oil, minerals and banks. The agreements also include a concession contract between Sudan and the Russian Rus Geology to prospect for oil in Sudan’s Bloc E57 and another accord for the geological mapping of the Jebel Moya area, North Kordofan State.

THE COLLAPSING AGRICULTURAL SECTOR

• Cash crisis discourages vital farming in Sudan | Radio Dabanga, September 28, 2018| EL GEDAREF

Farmers in El Gedaref said that the liquidity shortage will have dire consequences on the harvest. The sesame harvest is now in its early stages, but banks have refused farmers to withdraw enough cash to pay employees and costs. Farmer Haydar El Badawi told Radio Dabanga that the banks in El Gedare state have refused to give farmers more than SDG2,000 ($71*) a day. “This foreshadows problems between farmers and workers.” The southeastern state is highly important for the country’s agricultural output.

El Badawi expected the sesame harvest to face a crisis in the coming weeks because of the looming shortage of labour. Ethiopian farmers who seasonally work on the farms in Sudan are “reluctant to come, because of the collapse of the Sudanese Pound.”

Recently a report confirmed that sesame fields owned by about 32 farmers amounting to 8,040 acres have been subjected to damage by spraying pesticide. More than 50 farmers in El Gedaref state had filed a criminal complaint for damage to vital crops by aerial pesticide spraying operations. Some of them state it’s an estimated 90 per cent loss of sesame.

Meanwhile, farmers in El Gedaref state also warned about the looming failure of the upcoming winter season because of the high price of fertilizers. Farmer Abdeen Bargawi told Radio Dabanga that the price of a sack of dap fertilizer has risen from SDG450 to SDG1,350 ($48) and urea from SDG365 to SDG730 ($26). Bargawi said that a number of small farmers also refrained from farming because of the rising costs and the low prices of encouragement set by the Agricultural Bank (750 Sudanese Pound).

Leading economist Dr Sidgi Kaballo asserts that the ongoing liquidity crisis in Sudan stems from lack of confidence in the banking system and poor treasury cash-flow management. Sudan’s Minister of International Cooperation, Idris Suleiman, recently remarked that one of the causes of the liquidity crisis in the country is that 90 percent of the cash mass is being circulated outside the banking system.

• Sudanese farmers report “friction” over cash shortage | Radio Dabanga, October 23, 2018| EL GEDAREF / EL FASHER

In El Gedaref and North Darfur states, farmers have protested against the liquidity shortage that has been causing friction between farmers and workers. The head of the agricultural chamber in North Darfur, Mohamed Ali Abdelrahman El Haj, said that the renewed shortage of cash has led to quarrels between workers and farmers. In addition, agricultural workers and merchants in North Darfur complained about the lack of liquidity in banks and ATMs, which resulted in the complete paralysis in their trading and agricultural activities. A listener informed Radio Dabanga that the banks in the state have set the maximum withdrawal by SDG1,000 ($35.50*) a day, which hinders their interests and business.

For example, the sesame harvest is now in its early stages in El Gedaref in southeast Sudan, but banks have refused to allow farmers to withdraw enough cash to pay employees and costs.

In the beginning of this month the head of the agricultural committee of El Gedaref legislative council, El Safi El Awad, warned of the failure of harvesting operations and the loss of more than nine million acres of cultivated area for this season because of the liquidity shortage.

• Cash shortage threatens Sudan’s sesame, sorghum harvest | Radio Dabanga, October 1, 2018| EL GEDAREF

The head of the agricultural committee of El Gedaref state legislative council, El Safi El Awad, says that the state needs SDG 1.5 billion ($53.2 million*), one million workers, and 132,000 barrels of diesel to harvest sesame and sorghum crops. He warned of the failure of harvesting operations and the loss of more than nine million acres of cultivated area for this season.

The director-general of the Ministry of Agriculture of El Gedaref, Nafisa Noh reported that farmers are selling grain at less than half its price due to their need for cash amid the current liquidity crisis.

On Sunday, a delegation from El Gedaref state arrived in Khartoum to discuss the issues surrounding the cash shortage.

“Dire consequences for the harvest”

Farmers in El Gedaref say that the cash shortage will have dire consequences for the harvest. The sesame harvest is now in its early stages, but banks have refused to allow farmers to withdraw enough cash to pay employees and costs. Farmer Haydar El Badawi told Radio Dabanga that the banks in El Gedare state have refused to give farmers more than SDG2,000 ($71*) a day. “This foreshadows problems between farmers and workers.” The south-eastern state is highly important for the country’s agricultural output.

• Weak Sudanese Pound strains labour to clear El Gedaref’s agricultural crops | Radio Dabanga, August 26, 2018| EL GEDAREF

The farmers in Sudan’s El Gedaref state have complained about a lack of manpower to clear their agricultural crops. They have pointed out that a worker’s daily wage has amounted to SDG 170 (*$6) and the clearing of an acre to SDG 300 ($10.65). An added challenge is the reluctance of Ethiopian workers to work due to the lower exchange rate of the Sudanese Pound (SDG) against the Ethiopian Birr (ETB). They also pointed to the reduction of their quotas of diesel amid lack of pesticides.

Fuel deficit

In early August, MPs and farmers estimated the deficit in diesel for agriculture in Sudan’s El Gedaref state at more than 80,000 barrels, equivalent to more than 50 per cent of the actual need for the agricultural season. Mubarak El Nur, an independent MP representing El Fashaga locality in El Gedaref state, told Radio Dabanga that by the beginning of this month, most of the senior and small farmers had not received the second instalment of diesel for agriculture. He warned of the failure of the current agricultural season because of the lack of sufficient diesel. He said that the fuel crisis has already led to the failure to cultivate two thirds of the area suitable for agriculture in El Gedaref estimated at eight million acres.

• Sudan’s El Gedaref farmers face high production costs, diesel shortage | Radio Dabanga, November 1, 2018| EL GEDAREF

Agricultural experts in El Gedaref state confirmed that the current agricultural season is witnessing a steady rise in the prices of inputs of production and a severe diesel shortage in, in addition to rising labour costs and sesame disease. Engineer Majdi Bakheet, a plant protection expert, said in a symposium organised by Shorooq TV that production input costs have tripled, while the state has experienced a diesel crisis, the first of its kind, which led to the delay of the agricultural season and negatively affected production.

Bakheet said that the daily wage of a worker has risen to SDG 300 ($47.50*) because of the inability to attract Ethiopian workers against the background of the deterioration of the exchange rate.

He said that a plant disease [causing the leaves of the sesame plant to wither] has destroyed 80,000 acres of sesame in the western region due to lack of optimal treatment of the disease.

He attributed the spread of the disease to the non-change of seeds for 20 years, the absence of agricultural cycle and the misuse of pesticides.

He expressed surprise at the revenues of the state government on a tax of 1.5 percent, pointing out that the roads are bad and the farmer is still suffering in his movement. Farmer Haidar El Badawi said that the farmers have suffered during the various stages of the agricultural season from the lack of liquidity, wondering about the possibility of marketing sesame, whose daily revenue is estimated at SDG 300 million ($6.3 million) in the light of the liquidity crisis.

Revenues

He pointed out that there is a problem in the revenues amid the growing area cultivated cotton amounting to 300,000 acres. El Badawi said that the pest that hit the sesame was caused by the use of pesticides. He said the plant protection department recommended farmers to damage the sesame instead of looking for ways to treat it. He said that the profession of agriculture has become repulsive because of the problems, explaining that agricultural profession has turned to gold and marginal occupations in Khartoum. The farmer revealed a decrease in the value of agricultural land, where the value of the project fell from the equivalent of $400,000 three years ago, now the price does not reach $100,000 Dollars.

• Viral disease ruins sesame crops in Sudan’s El Gedaref | Radio Dabanga, September 3, 2018| EL GEDAREF

A plant virus spread by leafhoppers has devastated vast tracts of sesame crops in Sudan’s vital El Gedaref agricultural area resulting in an estimated 90 per cent loss, according to farmers.

The disease known scientifically as Phyllody and locally as Masih El Simsim is spread by jassid leafhoppers, and has reportedly infected the sesame crops in several areas of El Gedaref state.

An agricultural engineer said that the damage to the sesame crop has reached about 90 per cent of the area south of El Gedaref. The disease attacks the flowers of the sesame plant, preventing viable blooms and making it impossible for the plant to produce seed. The head of the agricultural committee of the State Council, Waleed Hassan Ali, confirmed that the pest has swept across tens of thousands of acres.

Farmers in El Gedaref state have warned that the lack of liquidity would disrupt the clean-up and then would lead to the failure of the agricultural season. A source at the Agricultural Bank has acknowledged the difficulty of farmers’ position because of these conditions.

Crop dusting

As reported by Radio Dabanga yesterday, More than 50 farmers in Sudan’s El Gedaref state have filed a criminal complaint for damage to vital crops by aerial pesticide spraying operations.

Farmers told Radio Dabanga that large areas planted with sorghum, sesame, and sunflowers in the southern region of El Gedaref state have been damaged. Farmers said a foreign company and a Russian investor used a defective pesticide sprayed from an aircraft. The report that more than 25,000 acres of sesame, sorghum and sunflowers, which had reached the production stage, are affected.

• Vital Sudan crops damaged by “deficient pesticides” | Radio Dabanga, September 2, 2018| EL GEDAREF

More than 50 farmers in Sudan’s El Gedaref state have filed a criminal complaint for damage to vital crops by aerial pesticide spraying operations. Farmers told Radio Dabanga that large areas planted with sorghum, sesame, and sunflowers in the southern region of El Gedaref state have been damaged. Farmers said a foreign company and a Russian investor used a defective pesticide sprayed from an aircraft. The report that more than 25,000 acres of sesame, sorghum and sunflowers, which had reached the production stage, are affected. They said that more than 50 of the affected farmers have filed a complaint at Doka police station.

Fuel shortage

The current agricultural season has been a challenging one for farmers, exacerbated by the chronic shortage of fuel in Sudan. A farmer from El Gedaref state said they had received only about 60 percent of the diesel allocated for agriculture so far – up slightly from the 50 percent reported at the beginning of August.

Weak Pound

As reported earlier this month my Radio Dabanga, the farmers in El Gedaref have complained about a lack of manpower to clear their agricultural crops. They have pointed out that a worker’s daily wage has amounted to SDG 170 (*$6) and the clearing of an acre to SDG 300 ($10.65). An added challenge is the reluctance of Ethiopian workers to work due to the lower exchange rate of the Sudanese Pound (SDG) against the Ethiopian Birr (ETB).

• Sesame harvest in eastern Sudan “in danger” | Radio Dabanga, October 21, 2018| EL GEDAREF

Farmers in eastern Sudan’s El Gedaref fear the sesame harvest will fail this year, owing to the continuously rising costs and the scarcity of diesel, liquidity, and labour forces.

Several farmers complained to Radio Dabanga from El Gedaref that it is extremely hard to find sufficient quantities of diesel to run the harvest machines and arrange transport for the labourers.

Their actions are limited as well by the liquidity crisis, they said. Daily withdrawals at the local banks are still limited to SDG 2,000 ($ 43*).

They also complained about the rising costs in general and the scarcity of labour. “Despite the suspension of the school classes and the bringing-in of large numbers of regular forces to help-out with harvesting, we’re still short of labour forces,” a plantation owner said.

• Small farmers hard hit by fuel crisis in Sudan | Radio Dabanga, August 27, 2018| EL GEDAREF

A number of farmers in Sudan have reported the continuation of diesel crisis and pointed out that only half of their quota has been received, while a large number of small farmers have not received their quota at all. A farmer from El Gedaref state said they had received only about 60 per cent of the diesel allocated for agriculture so far – up slightly from the 50 per cent reported at the beginning of August. A farmer in Blue Nile state also reported receiving only half of his quota, while a large number of farmers, especially small farmers, have been deprived of their quota altogether.

Repeated warnings

In July, Radio Dabanga reported the repeated warnings of small farmers in El Gedaref state of a failure of the cultivation of sesame and millet in the current season, pointing to a lack of diesel and high production costs. There are reports of the security service targeting small farmers by confiscating their quantities of fuel. Several farmers from various localities in the eastern Sudanese state told this station that the cost of ploughing five feddans has risen during one week from SDG600 to SDG800 (*$28.40). One feddan is equivalent to 1.038 acres or 0.42 hectares.

Farmers reported there is a lack of fuel, which has caused the price of a barrel of diesel in the black market to rise to SDG8,000 ($284.20), while the price of a litre of pesticide has risen to SDG350 ($12.43).

In addition, farmers reported a rise in labour prices. A farmer explained that Ethiopian workers have been reluctant to work on their farms this season because of the deterioration of the Sudanese Pound and the general price hikes in Sudan.

Sudan has suffered from a scarcity of fuel and cooking gas and flour crises last year, including in December. In March 2018 however, the crises extended and became acute.

• Fertiliser delay threatens agricultural yields in Sudan | Radio Dabanga, August 8, 2018| EL GEZIRA

Farmers of El Gezira and El Managil Agricultural Scheme have complained about the delay in the delivery of urea fertiliser for the crops, which may lead to poor productivity in the current agricultural season. Ahmed Abdelbagi, of the leadership of El Gezira and El Managil Association, told Radio Dabanga that the authorities agreed to hand the fertilisers to the farmers on July 1 without keeping their promise. He pointed out that the crops of sorghum, cotton, and groundnuts are usually fertilised after the second irrigation and now the crops are not fertilised in the third irrigation phase, which may weaken productivity

He said the fertiliser market prices in the black market are very expensive and uneconomical. The rains and floodwaters have flooded the large agricultural areas of the scheme, which could expose the farmers to great losses.

Abdelbagi said that the surplus of rainwater in the channels of the scheme flooded large areas of the Scheme because of the lack of water organisers in the channels. He pointed to the great damage concentrated in Fereijab, Goz El Riheid and Goz El Nima.

• Beleaguered El Gedaref farmers fear impact of Ethiopian militiamen on Sudan border | Radio Dabanga, October 29, 2018| EL GALABAT

Farmers in East El Galabat locality in Sudan’s El Gedaref state have expressed concern about the impact of the security situation on the Sudan-Ethiopia border and the movements of Ethiopian members of the Shifta militia on the sesame harvest. They reported the continued harvest processes in spite of the rising labour costs and scarcity and increased costs of transportation and burlap. Farmers have called on the authorities to provide the necessary security and protection for farmers during the current harvest season. Last week, members of the Ethiopian Shifta militia shot a farmer dead and wounded another in their agricultural project at El Mudiriya village in El Quresha locality, which led to panic and flight of workers from the project. The border area has seen incidents of friction between Sudanese farmers and Ethiopian Shifta militiamen for several years.

Over the past few years, the violence between armed farmers in El Gedaref’s border areas rapidly increased, with many reports of Ethiopian gangs attacking Sudanese farmers in the border areas, extorting them, and occupying their lands. Radio Dabanga reported in November 2015 that more than 50 villages and a million acres of farmland in the eastern localities of El Gedaref state are occupied by Ethiopian militiamen.

Rising costs

Continuously rising costs and the scarcity of diesel, liquidity, and labour forces have placed much economic strain on the area’s farmers. Earlier in October, several farmers complained to Radio Dabanga from El Gedaref that it is extremely hard to find sufficient quantities of diesel to run the harvest machines and arrange transport for the labourers. They also complained about the rising costs in general and the scarcity of labour. “Despite the suspension of the school classes and the bringing-in of large numbers of regular forces to help-out with harvesting, we’re still short of labour forces,” a plantation owner said.

SHORTAGES OF FOOD, MEDICINE, CLEAN WATER

• Sudan economic crisis: Families survive on left-overs from restaurants | Radio Dabanga, October 3, 2018| KHARTOUM

The left-overs of restaurants in the more luxurious district of El Amarat in Khartoum have become a welcome meal for many impoverished families in the neighbourhood.

The manager of a well-known restaurant on the Africa Road, popularly known as Airport Road, told the press in Khartoum on Tuesday that the establishment’s left-overs have become a basic meal for many families. “Some poor people have become customers. We keep their share of el karta, as the left-overs meal is called, for them every day,” he said. “Instead of throwing the left-over food into the rubbish, I have instructed the staff to keep it properly until the people come to get it.”

He called it “very unfortunate that many families are now forced to beg for food remains left by well-off customers.”

Sudan is suffering from a chronic lack of hard currency and cash, while exports remain low. High inflation figures caused a severe drop in purchasing power among the Sudanese since early January, after the government implemented major austerity measures. The country also witnessed repeated fuel and wheat shortages. Several economists have warned for an economic collapse.

In a speech to the Parliament on Monday, President Omar Al Bashir said that Sudan has passed through a rise of prices and scarcity of liquidity, and will continue to do so in the future.

• Meat, vegetable, fruit scarce or unaffordable in Sudan | Radio Dabanga, October 18, 2018| SUDAN

Listeners from various Sudanese states have renewed their complaints about the rise in the prices of food and consumer goods across the country, driven sky-high by a combination of the ongoing fuel crisis and a shortage of cash. A number of caller told Radio Dabanga that their salaries are sufficient for only ten days. Say that the majority of families eat a meal or two free of meat, vegetables or fruit. The Secretary-General of the Wages Council, Abdelrahman Haydoub, said that the cost of living for a family of five people is not less than SDG 9,800 ($210*), the minimum wage is SDG 424 ($9) while the minimum wage to live below the extreme poverty line, according to the World Bank for every person between $2 – $7 a day.

Haydoub said there is favouritism among the employees in the state; pointing out that there is an employee at the ninth degree is paid higher than an under-secretary of a ministry.

Petrol queues return

After a few weeks of relative respite, the Sudanese capital is again witnessing queues in front of petrol stations. Bus passengers are waiting long hours for transport. The authorities of El Geneina in West Darfur have introduced fuel distribution cards. Earlier this week, people in Khartoum reported a renewed scarcity of petrol and diesel at the filling station. Pump owners attributed the crisis to the reduction of the daily rations for a number of fuel stations. A worker at a petrol station in Omdurman told this station on Tuesday that their share of diesel decreased that morning.

Apart from a lack of transport and overcrowded bus stations, commuters in Khartoum complain about a tariff increase of 100 per cent. “I daily pay at least SDG 10 ($ 0.21*) for a short ride to my work,” a basic school teacher complained. “And as I earn a poor SDG 1,300 ($28) a month, I really don’t know any more how to survive.”

Crises

Sudan is suffering from chronic hard currency shortages and a soaring inflation since 2012. Prices skyrocketed in particular after the government implemented a set of austerity measures in January this year. The crises have led to recurrent shortages in commodities like bread and fuel. In May, President Omar Al Bashir reshuffled his cabinet and launched a “war on corruption” in a bid to revive the country’s economy and curb the soaring food prices. In September, Al Bashir announced a second cabinet reshuffle and new measures to cut government spending. The 31 ministries would be reduced to 21. The number of ministries in the 18 states in the country would be downsized as well.

According to former banker and civil society activist Ismail Mohamed, the economic problems in Sudan are the result of an unclear political vision to tackle them. The imbalances facing the Sudanese economy are structural, because of the poor economic infrastructure and the inability to absorb any shocks, the financial analyst said in July. He pointed to the large budget deficit, the trade payment deficits that led to a sharp devaluation of the national currency, the huge external debts, high inflation and low salaries, high unemployment rates, especially among universities graduates, a shrinking economy which caused a sharp decline in the Gross Domestic Product (GDP), and a sharp rise of the poverty levels.

•Onion price soars in Darfur, Sudan Finance Ministry acknowledges consumer woes | Radio Dabanga, November 1, 2018| DARFUR / KHARTOUM

The price of onions has risen sharply in the states of Darfur amid a shortage of the vegetable that is consumed extensively as a staple in the region. The Ministry of Finance in Khartoum has acknowledged that prices for consumer goods soared by 100 per cent during the current quarter. Traders in Darfur told Radio Dabanga that there is a severe shortage in spite of lorry-loads of onions arriving from Omdurman and other parts of Sudan. They explain that the shortage is seasonal – it is the end of the current season for onions and the beginning of the next planting season in Darfur. There is not enough local production to meet the high daily consumption.

The price of a ‘malwa’ of onions to consumers in El Geneina, capital of West Darfur, has risen to SDG 150 ($3.15*) and in the North Darfur capital of Nyala, the price has risen to SDG 100 ($2.10). On the wholesale market, a 100 kg sack of onions in El Tina in North Darfur has risen to SDG 3,000 ($64), SDG 2,200 ($46) in El Fasher.

Ministry of Finance acknowledges increases

The Director of the Department of Consumer Affairs at the national Ministry of Finance in Khartoum, Adil Abdelaziz, has acknowledged the increase in commodity prices by 100 percent during the current quarter of this year, which has affected the various levels of Sudanese society.

He warned during a workshop of further suffering for the Sudanese people if the government delays the adoption of effective measures against the rise of prices. The liquidity crisis has been ongoing in the country despite the government’s repeated promises to end it.

“Catastrophic consequences”

He described the government’s printing of new banknotes as “deliberate sabotage, because the most important condition for printing money is the need to match it with the economic performance of the state, which must measure the volume of goods and services produced compared to the money it prints… The government has continued to print paper currency without coverage or the existence of foreign exchange reserves or exportable domestic production for competition to create the desired balance between the currency printed and purchasing power.”

Market Makers Committee

Prof Hasan Bashir, Professor of Economics at the University of El Nilein described the mechanism of the Market Makers Committee (MMC) as “inactive in reducing the exchange rate.” The MMC was established by the Sudanese government in October to determine foreign exchange rates has failed to curb the increasing US Dollar (USD) rates against the Sudanese Pound (SDG) in the parallel forex market. Prof Bashir pointed to the steady to the steady increase in the Sudanese Pound – Dollar exchange rate. The official daily rate as determined by the MMC and quoted by the Central Bank of Sudan is currently SDG 47.50 for a Dollar, however the greenback was trading on the streets of Khartoum at SDG 51.

He reiterated what he said in an earlier interview with Radio Dabanga he considers the austerity measures announced last week by Sudan’s Prime Minister and Minister of Finance Motaz Mousa as the first of its kind since the secession of South Sudan, but said that the amounts provided will not have a significant effect. He says that the largest spending is on security, defence, and administrative inertia at state, locality, and legislative council levels.

• Bread shortage as gas supply runs low in El Gedaref, Sudan | Radio Dabanga, October 24, 2018| EL GEDAREF / KHARTOUM / OMDURMAN

El Gedaref has been experiencing a severe shortage of cooking gas for the last two days. Residents of El Gedaref told Radio Dabanga that the price of a cylinder of gas in the black market has risen to SDG 500 ($10.64*). The national capital of Khartoum is running out of bread. They explained that they ordered cooking gas from the agents a few days ago, but have not received any cylinders yet. They accused the agents and representatives of the security apparatus of manipulating the distribution of cooking gas. The gas crisis has reportedly spread to include bakeries, which has led to a bread shortage.

Khartoum bakeries

The residents of a number of districts of Khartoum have complained of the return of the bread shortage at a time when the three cities of the capital are witnessing acute transport crisis. thousands of residents are overcrowding transport stations waiting for the vehicles to take them home.

The residents of El Fitihab and Dar El Salaam in Omdurman and Jabra in Khartoum have confirmed the lack of bread, and that consumers must stand in the long queues in front of the bakeries.

• Acute flour shortage – long bread queues across Sudan | Radio Dabanga, August 13, 2018 | SUDAN

The bread crisis in the Sudanese capital of Khartoum as well as the states has reached a peak, leading to the closure of the bakeries for lack of flour and forcing residents to queue for long hours, often without success. The outskirts of the capital are suffering the most. Yesterday, residents of Sudan’s second city Omdurman, on the opposite bank of the Nile from Khartoum, told Radio Dabanga that they are often waiting for long hours from one bakery to another without any result.

One of the residents said that all the families had to go early after the morning prayers to stand in lines for bread. A housewife from Arkawit in Khartoum told Radio Dabanga that searching for bread, which would take most of the day, has become the main concern for families.

Unprecedented

In eastern Nile state, Residents of El Haj Yousef said the bread crisis has covered all the different blocks in an unprecedented manner. Yesterday, a housewife from El Haj Yousef El Radmiya told Radio Dabanga that some blocks saw a total lack of bread where the inhabitants spent their day searching from a bakery to another in search of bread for no avail. The coalition of the national consensus forces said that the stop of production, the exasperation of everyday suffering and bread lines reflect the imminent complete economic collapse in the country. It stressed that the harsh living conditions experienced by people and the rise in prices confirm the collapse of the hunger budget announced for the year 2018, which only emerged in the first half of the year, increasing the trade deficit to five billion Dollars.

Fuel crisis

The bread shortage is a knock-on result of the chronic fuel crisis in Sudan. This impacts logistics and puts mills under pressure leading to a shortage of flour: vehicles to transport the flour to bakeries must queue for fuel. The bakeries themselves are also short of gas to fire their ovens. The ongoing crisis threatens longer-term food supplies in Sudan as agricultural projects are also in short supply of fuel.

• Northern Sudan: No bread, cooking gas in Dongola | Radio Dabanga, August 6, 2018| DONGOLA

Dongola in Northern State is suffering from an acute bread and cooking gas crisis. A villager told Radio Dabanga from Suleimi in Dongola locality that the people have to wait in long queues at the bakeries “to obtain a few pieces of bread.” The severe shortage of cooking gas has forced the people in the area to use firewood and electricity to cook their food. The villager said the people were becoming desperate, “as we do not see any glimmer of hope for any solution soon.”

Apart from continuing fuel shortages and a scarcity of wheat, the majority of the Sudanese are suffering from an acute lack of medicines, repeated power cuts and drinking water outages.

Opposition parties and farmers have warned for a serious food crisis this year. The US Famine Early Warning Systems Network (FEWS NET) reported in June that the soaring staple food and fuel prices are reducing the production of crops and consequently increasing the assistance needs in the country.

• Sudan-wide bread shortage shuts schools in South Kordofan capital | Radio Dabanga, August 8, 2018| KADUGLI / WAD MADANI

The acute shortage of bread being reported across Sudan as a by-product of the ongoing fuel and logistics crisis has caused the school classes to stop in Kadugli, capital of South Kordofan. Long queues from bread are reported from El Gezira. An employee told Radio Dabanga that yesterday the city witnessed a complete lack of bread as all the bakeries stopped working because of the lack of flour. He said school headmasters stopped school classes in the morning and ordered pupils to go home because there was no bread for breakfast. The markets of Kadugli witnessed a significant increase in the prices of essential commodities.

El Gezira

Wad Madani in El has witnessed acute bread crisis for four days. People told Radio Dabanga that the long lines have returned to the bakeries and that the bakeries are closing in the evening after the end of their daily quota of flour. Bakery owners attributed the crisis to reduced flour quotas provided by the authorities, as some bakeries resort to reducing the weight of bread while other bakeries sell three loaves for the price of five Pounds.

• Bread, milk in short supply after Eid in Sudan’s Red Sea state | Radio Dabanga, August 26, 2018| SINKAT

Residents of Sinkat in the Red Sea state have complained of a severe bread and milk crisis since the Eid El Adha holiday. A number of residents told Radio Dabanga that they stood in front of the bakeries for long hours to obtain limited quantities of bread and overcrowd the milk shop when it arrives from the outskirts of the town. They explained that the price of a pint of milk has risen to SDG 20 *$0.71). The drinking water crisis at Salabona district of Port Sudan has be continued for more than a month. Residents of the district told Radio Dabanga that they buy a jerrycan of water from carts for SDG 10 ($0.35). The journalist Osman Hashim attributed the crisis to the poor distribution network and problems in its organisation.

• Kordofan: “People eating porridge for lack of bread” | Radio Dabanga, August 15, 2018| ABU JUBEIHA / EL FULA / EL OBEID / KHARTOUM

Public anger is rising in the cities of Sudan’s South and West Kordofan are experiencing a severe bread crisis amidst a state of anger among the residents. Yesterday, a resident from Abu Jubeiha told Radio Dabanga that the bread crisis has been going on in the town for two days and that the bakeries run out of bread early in the morning. A housewife told Radio Dabanga that the residents of El Fula have resorted to eating porridge instead of bread, which has been lacking on the market for three days.

The bread and fuel crisis in El Obeid has exasperated the suffering of the residents.

An employee in El Obeid told Radio Dabanga that the bread and fuel crisis has expanded the queues in front of bakeries and fuel stations. He said the vulnerable sectors are suffering the most, especially with the sharp rise in prices.

Khartoum

In Khartoum, dozens of vehicles have queued up in front of petrol stations, while other petrol stations have shut down because of lack of fuel. The owner of a private vehicle told Radio Dabanga that the fuel crisis has worsened in Khartoum state during the past two days. He said that the appearance of queues of vehicles in front of fuel stations is as normal as the other queues of people in front of bakeries to get bread. He expressed concern that the fuel crisis will escalate as Eid El Adha is approaching, which will place even more demands on the passenger and goods transport infrastructure.

“Crisis near end”

The Minister of Finance, Economy and Consumer Affairs of Khartoum State, Adil Mohamed Osman, said that the bread crisis is nearing its end. “Khartoum will receive its full quota of flour within the next two days,” he announced this week. “Bakeries will work again with full capacity and thus the current bread crisis would be eliminated.” The minister stressed that the country’s reserves of wheat are “very reassuring”, and that problems with the supply of electricity to mills “is under control.”

[This was of course a lie and quickly made conspicuous by subsequent developments—ER]

End 2017, the Sudanese government decided on a package of austerity measures in an attempt to address the huge gap in its finances. Its priorities did not change: more than 70 per cent of its spending is still allocated to the defence and security sectors, less than 10 per cent will be spent on health and education. The customs duties were raised by more than 200 per cent – which immediately affected the prices of most of the goods in early January. The government further decided to liberalise the flour market which lead to the doubling of the bread prices.

• Khartoum bread crisis into fifth day | Radio Dabanga, August 27, 2018| KHARTOUM / EL OBEID

The chronic bread crisis has escalated in Khartoum state, entering its fifth day without any solution in sight. In El Obeid in North Kordofan, bakeries have run out of gas to fire their ovens. A number of Khartoum residents said they spend most of their day standing in queues and moving between the bakeries to get bread. They pointed out that a number of bakeries have stopped working because of lack of flour, while the owners of mills have accused the agents of manipulation of quotas.

Committee to stop smuggling

The economic sector of the National Congress Party has formed a committee to stop the smuggling of subsidised wheat outside its channels.

North Kordofan

El Obeid in North Kordofan is experiencing a bread crisis due to lack of gas to fire the bakers’ ovens. A number of residents told Radio Dabanga that they queue for more than five hours to get a few breads, while some said they go to the bakeries after dawn prayers to get bread for breakfast.

They explained that the price of a cooking gas cylinder costs SDG 350 (*$12.43) on the black market.

• Fuel and bread queues also return to El Gedaref, Kassala | Radio Dabanga, October 19, 2018| EL GEDAREF / KASSALA

El Gedaref has experienced a severe gas fuel shortage for three days. Fuel stations are running empty. In Kassala state, a lack of bread is causing long queues in front of bakeries. A resident in El Gedaref told Radio Dabanga that most of the fuel stations are out of gasoline. He said that in addition, people have to stand in long queues to get bread. The waiting on front of the bakery starts in the early morning. Regarding fuel stations, vehicles are also queued in front of the three last operating stations, the man added.

People in Halfa El Jadeeda (‘New Halfa’) in Kassala state have complained of a severe bread shortage for the past week. A resident told Radio Dabanga that most bakeries are closed during the day and in the evening, because they have run out of the flour rations they receive from flour companies. “The economic safety of families has been reduced because of the smaller quantities of flour provided to the bakeries,” the resident complained.

After a few weeks of relative respite, queues in front of fuel stations have also returned in other parts of Sudan, including Khartoum, Wad Medani, El Geneina and Abu Jubeiha. The cities are running low on fuel, especially gasoline. Pump owners attributed the crisis to the reduction of the daily rations for a number of fuel stations. Minister of Transport, Hatim El Sir, visited Port Sudan on Thursday. He attributed the fuel crisis to delayed payments to fuel-owning companies, adding that the Sea Ports Corporation should not be accused of purposely delaying the entry of fuel tankers.

Back in August, the Minister of Finance, Economy and Consumer Affairs of Khartoum State, Adil Mohamed Osman, said that the bread crisis was nearing its end.

End 2017, the Sudanese government decided on a package of austerity measures in an attempt to address the huge gap in its finances. One of the measures included the liberalisation of the flour market which lead to the doubling of the bread prices.

• Flour shortage in Khartoum: Man stabbed in bread queue | Radio Dabanga, August 14, 2018| KHARTOUM

The lack of flour in the Sudanese capital has been the cause of long queues in front of the bakeries that have remained open. A person was stabbed during a quarrel over bread, while schools and restaurants have been disrupted by the bread crisis. More bakers have closed their doors following the lack of flour. Angry people in a queue in front of a bakery in Omdurman started to fight with bakery workers, and one of the residents was stabbed. The crisis has been causing restaurants and cafeteria owners’ to suffer financial losses, as they have to prepare meals for customers without the usual bread in the early morning. Residents in Khartoum told this station that the lack of bread has also caused disruption of the daily schedule of several schools in Khartoum Bahri.

Headmasters in court

In Kassala, headmasters of the Dibeira and Argeen higher secondary schools in New Halfa locality had to appear in court because they had taken foodstuff from the market to feed their students in the boarding houses. The headmasters of the two schools explained that they have been forced to borrow food from the market to be able to provide food to their students. They claimed that their purchase had to be delayed, as the Ministry of Education in Kassala has delayed payments to the schools. The trial of the headmasters this week has been condemned by a number of residents of New Halfa against the backdrop of the general issues with securing enough food.

“Nearing an end”

The Minister of Finance, Economy and Consumer Affairs of Khartoum State, Adil Mohamed Osman, said that the bread crisis is nearing its end. “Khartoum will receive its full quota of flour within the next two days,” he announced yesterday. “Bakeries will work again with full capacity and thus the current bread crisis would be eliminated.” The minister stressed that the country’s reserves of wheat are “very reassuring”, and that problems with the supply of electricity to mills “is under control.”

The custom duties were raised by more than 200 per cent – which immediately affected the prices of most of the goods in early January. The government further decided to liberalise the flour market which lead to the doubling of the bread prices. In Khartoum, the editor-in-chief of El Jareeda newspaper, Ashraf Abdelaziz, commented to Radio Dabanga last month that queues for bread, diesel and traffic jams have become a common sight in Khartoum. He attributed the crisis of bread and transportation to the scarcity of diesel and flour.

• Chronic, essential medicines unaffordable for many Sudanese | Radio Dabanga, August 2, 2018| SUDAN

Residents of several Sudanese states have complained about the lack and high prices of lifesaving medicines to tread chronic conditions such as blood pressure and diabetes, as well as medicines related to epilepsy and other neurological and psychological conditions. A number of patients, doctors and pharmacists told Radio Dabanga that the costs of treatment in the states are very high, and poverty and collapse of the currency put it out of financial reach of many in Sudan.

A resident told Radio Dabanga that health insurance does not cover some high-price medicines so many patients cannot afford to buy them, prompting the villagers to resort to traditional herbal medicine.

A number of pharmacists in Khartoum said that dozens of patients enter the pharmacies daily and leave empty handed as they are unable to meet the costs. Pharmacists say that the prices of imported medicines are linked to the value of the US Dollar, which has risen by 300 per cent, while doctors believe that the severity of poverty and its spread in the country subject a large segment of the population to disease and death.

Prices

For example, as reported by Radio Dabanga last month, the price for ‘Simpicor’, a medicine for the treatment of asthma, has risen from SDG90 ($3.20*) to SDG254.5 ($9). Insulin has risen to SDG250 ($8.89) instead of SDG 220 ($7.81) a bottle. Some medicines that are included in the National Fund for Medical Supplies have become more expensive as well. A number of pharmaceutical companies in Sudan have confirmed the scarcity of several medicinal products in the country. More than 200 types of medicines have become completely unavailable. Pharmaceutical companies are now forced to import medicine first and obtain the currency later, as banks in Sudan refuse to open credit or grant foreign currency. Most foreign and local companies, however, refuse to provide medicines without receiving payment in advance.

VIOLENCE IN DARFUR AFFECTING FOOD PRODUCTION

• Woman dies, four injured as herders attack North Darfur farms | Radio Dabanga, August 8, 2018| TABIT

A woman farmer has died and four others injured in an attack by armed herders on farms south of Tabit in Tawila locality in North Darfur on Tuesday. Farmers told Radio Dabanga that the attack was carried out by 12 armed herders on camels after they let their livestock graze on the farms south of Tabit Witnesses said that when the women farmers tried to drive the livestock from their farms, the herders opened fire. Sara Yagoub (25) was shot dead and Shawgara Ali, Kalthoum Yousef, Hawa Mohamed, and Meimona Yousef were injured. They said wounded women were taken to a health centre and the incident was reported to the police.

[The loosing of livestock on farmland as harvesting is near is a brutally destructive tactic for feeding animals at the expense of people—often livestock (such as camels) that can produce almost no substantial food compared to what has been destroyed—ER]

• Farmers attacked in North Darfur’s Tawila | Radio Dabanga, October 23, 2018| TAWILA

A number of farmers were injured in an attack by herders in Tawila locality in North Darfur on Monday. The farmers told Radio Dabanga that herders trespassed their farms with their livestock at Hashaba area, south of Tawila. When the farmers confronted them the herders beat them, causing various injuries. Four farmers were injured, including Maryam Yousef, Hawa Yahya, Shadiya Haroun and Maryam Saleh. Some of them sustained serious injuries. They pointed out that the herds of camels and other cattle caused significant losses to the fields of sorghum, sesame, watermelon and groundnuts.

• Sheikh (60) among dead in South Darfur livestock raid | Radio Dabanga, October 29, 2018| EAST JEBEL MARRA

Two people were shot dead and two others were wounded in an attack by militiamen riding camels and horses at Dandi area near Rakuna in East Jebel Marra locality in South Darfur on Friday morning. Intervention by combatants of the Sudan Liberation Movement (SLM) netted five suspects. Witnesses told Radio Dabanga that the gunmen men attacked at 5 am on Sunday with the intention to steal livestock. They said the attack resulted in the death of Sheikh Abakar Wawa (60) and Abdelshafi Ismail (27). Abdo Keen (40), and Foka Abakar (25)were wounded. Callers said that the militia attack on the civilians prompted the intervention of SLM forces stationed nearby who reportedly killed or captured at least five of the attackers. The remaining gunmen fled toward Jabra near El Malam.

In September, a farmer was killed and another abducted after they confronted armed herders grazing livestock on their farms at Um Baji in Tawila. Farmers in North Darfur’s Dar El Salam locality also came under attack of herders.

Witnesses told Radio Dabanga that the herders trespassed with their camels and cows, resulting in a confrontation where the herders opened fire on the farmers. This also led to the destruction of large areas of millet, sorghum, sesame, groundnuts, watermelon and okra estimated at thousands of Sudanese Pounds. They explained that they had filed several complaints to the authorities, without finding any response.

• Farmer shot, highway robbery in Darfur | Radio Dabanga, October 8, 2018| DARFUR

A farmer has been killed by herders and gunmen have robbed the passengers of a commercial vehicle in Darfur. Witnesses told Radio Dabanga the three herders drove their livestock onto the farm of Eisa Mohamed at Donki Abyad area in Gireida locality in South Darfur on Saturday. When the farmer attempted to drive the animals off his land, the herders shot him dead.

• Farmers killed, abducted by herders in North Darfur | Radio Dabanga, September 27, 2018| TABIT

A farmer was killed and another abducted after they confronted armed herders grazing livestock on their farms at Um Baji south of Tabit on Wednesday. Local leaders have called for a military force to be stationed at Gallab to protect the farms. Suleima Yahya was abducted while Abdallah Ibrahim died on the spot in Wednesday’s attack. Witnesses told Radio Dabanga that the herders trespassed with their camels and cows the areas of Galab, Shurfa, Hillet Sinin and Arda. When the farmers confronted them, they opened fire killing Ibrahim and then abducted Yahya.

They said that the herders on double-cab vehicles with mounted with dushka .50-calibre machine-guns trespassed with camels and cows on the farms by force of arms. This led to the destruction of large areas of millet, sorghum, sesame, groundnuts, watermelon and okra estimated at thousands of Sudanese Pounds. They explained that they had filed several complaints to the authorities, without finding any response.

They renewed their demand for the authorities to intervene so that they could harvest their promising crops. Residents of Kulgi, Bobai Sijlli and Sousou areas have complained that the herders are trespassing on their farms with their camels and cows at night. Omda Mukhtar Boash said the preliminary inventory of the areas damaged and destroyed by the herders is about 250 farms. He called on the authorities to put a military force at Gallab area to put an end to the violations of herders.

• Darfur: Farmers attacked, displaced men arrested | Radio Dabanga, September 21, 2018| DAR EL SALAM / NIERTETI / NYALA

Two farmers were attacked in North Darfur on Wednesday. In Central Darfur, three camp residents were arrested on Monday. Farmers Adam Mahmoud Ibrahim and Um Kalthoum Yahya Omar were farming in Arashu, in Dar El Salam locality, when gunmen trespassed the farms. One of their relatives said that the four gunmen were herders. “The herders let their cattle and camels graze on the farms. When the farmers objected, they beat them with sticks and caused them injuries.” The victims have been taken to Shangil Tobaya for treatment.

On Monday, members of the military intelligence arrested three displaced people from Tur camp in Nierteti locality in Central Darfur, and took them to an unknown destination. Eyewitnesses told Radio Dabanga that the military intelligence stormed the house of Yahya Abulgasim, Abdelrazig Abdelrahman and Muzamil Osman and took them to an unknown destination in their vehicle. Relatives of the three detainees inquired about their family members at the military garrison of Tur, as well as the station of the Central Reserve Forces. “They denied that the detainees were being held there.”

Kalma camp

On Thursday, members of the Rapid Support Forces (RSF) reportedly stormed Kalma camp in Nyala locality, which sparked panic among the displaced. They drove into the camp with a vehicle.

The spokesman for Association of Displaced People and Refugees in Darfur, Hussein Abu Sharati, said that the incident coincided with a meeting on the commemoration of martyrs of deadly events in Kalma.

• Farmers, firewood collectors attacked in South Darfur | Radio Dabanga, September 18, 2018| GOBO / MERSHING

Militiamen shot and abducted two farmers in southern Jebel Marra on Sunday. Three firewood abductors in Mershing were attacked and robbed of their carts. An eyewitness reported that militiamen in four vehicles arrived at farmlands in Gobo and attacked Abdelmahmoud Saleh (35 years) and Yahya Haroun (45) while they were tilling their farm. They shot Yahya in both legs and beat Abdelmahmoud with their rifle butts, the witness said. Then the perpetrators took them up in one of the vehicles by force of arms and drove off. The witness expressed concern that the victims might be tortured or killed.

Abduction

Also on Sunday, a number of herders held three displaced people from Selo camp in Mershing area, and demanded SDG 15,000 for the release of their possessions. One of the sheikhs in the South Darfur camp told Radio Dabanga that a number of herders seized the three camp residents when they were west of the camp collecting firewood. “The three victims were released on Monday, but the herders demand SDG15,000 for their carts.” Disputes between herders and farmers occur more often this time of year, as herders let their cattle graze on farmlands that have not yet been harvested, causing friction between the groups. In addition, farmers in the area of Jebel Marra in Darfur are often attacked by militant herders. This has also been the case for returning displaced people looking to farm in their area of origin.

APPENDIX: CHAD

[A much fuller account of the situation of more than 300,000 Darfuri refugees who remain trapped in eastern Chad will be forthcoming, but their situation is dire and humanitarian resources are increasingly scarce, putting intolerable pressures on this large refugee population—ER]

• Sudanese refugees in eastern Chad without food rations | Radio Dabanga, September 5, 2018| EASTERN CHAD

Sudanese refugees in eastern Chad protest the suspension of food rations since early August.

Sheikh Yahya Adam Nadeef, head of the Kounongo camp for Darfur refugees in eastern Chad told Radio Dabanga that the Chadian organisation responsible for the distribution of food decided to divide the camp residents into three categories: capable, medium and vulnerable. “They then announced that only the medium and the weak would receive food rations, but the refugees opposed the change, saying that they all are vulnerable and need support.” Nadeef said that food distribution to “the capable” stopped in early August. He appealed to the UN World Food Programme to resume its food distribution, “as we are all living in dire humanitarian conditions.”

Voluntary return

On July 31, 2017, the UN Children’s Fund (UNICEF) reported there are 319,512 Sudanese refugees residing in camps in eastern Chad since 2003. They are face dwindling humanitarian support, with cuts to food rations, and limited livelihood opportunities and access to land.

In January this year, Khartoum instructed the acceleration of the voluntary repatriation of Sudanese refugees in Chad and the return of Chadian refugees in Sudan, saying the security situation in the border area improved greatly after a large disarmament campaign was conducted in the area in the second half of 2017.

A camp sheikh reported to this station in March this year that the refugees in Chad were suffering from a shortage of basic commodities. This causes more refugees to opt for voluntary return.