( 3 minutes read)
· Protests erupted along the streets of Khartoum in retilation of the Sudanese government’s decision in line with reforms to make the country eligible for an IMF debt relief initiative
· At the instance of the IMF, the Sudanese government lifted subsidies on petrol and diesel. This has resulted in price spiraling of fuels
· There are also people who hold the view that the rise in prices was absolutely necessary to tame the declining economy and to stem the fiscal profligacy
Protests erupted along the streets of Khartoum in retilation of the Sudanese government’s decision in line with reforms to make the country eligible for an IMF debt relief initiative. At the instance of the IMF, the Sudanese government lifted subsidies on petrol and diesel. This has resulted in price spiraling of fuels.
Sudanese motorists were also angry because of the high prices that they have to put up with. Many are against the lifting of subsidies. Finance Minister Gibril Ibrahim, however, has justified the scrapping of subsidies telling that it served the Sudanese people and the Sudanese economy. Citizens say raising the price of a litre from 128 to 290 will lead to a threefold increase for the consumers.
There are also people who hold the view that the rise in prices was absolutely necessary to tame the declining economy and to stem the fiscal profligacy. Added to that, the country has US$ 60 billion foreign debts. Sudan’s economy has contracted into a deep crisis since the overthrow of longtime head Omar al-Bashir in April 2019, sparking frequent demonstrations and risking social unrest in a country in transition. The lifting of subsidies, which took effect Tuesday, saw the price of petrol shoot up from 150 Sudanese pounds ($0.34 cents) to 290 pounds per litre. The diesel prices went up from 125 to 285 pounds. Sudan’s transitional government is vowed to fix the economy, which had been crippled by US sanctions under Bashir.
