Sudan’s Main Source of Income

This article will provide a quick overview of the Sudan’s main sources of income. While the country has a diversified economy, oil and gas production is its largest single source of foreign currency. In addition, Sudanese firms carry out a large portion of their transactions outside of the country in foreign currencies. If international correspondent banking is ever resumed, the Sudanese government will likely review its foreign exchange policies.

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While oil has become the main export of Sudan, the country still relies on agricultural products to support its economy. In 2015, agricultural products provided 75% of the country’s exports. Meanwhile, 22% of Sudan’s imports went to agricultural production. In addition, the country imports a large proportion of agricultural inputs such as machinery, fertilizers, and pesticides. The modern economy of Sudan was founded under British colonial rule between 1899 and 1956.

In the past, farming was the main source of foreign currency. Sudan had a large farming enterprise covering two million feddans and a single management. This was the largest source of foreign revenue for the country for decades. Today, agriculture is Sudan’s second largest source of income, but still only represents a small percentage of the economy. Agriculture is also the main source of employment in Sudan, but is in decline.

What is Sudan’s Main Source of Income?

While oil has long been the country’s primary source of foreign currency, it has also been one of the main means of government income. Oil revenues are the nation’s largest source of foreign currency, but are subject to massive diversion before reaching the national budget. The money is funneled to a state corporation called Nilepet, which receives tens of millions of dollars in payments from the government and oil companies. Nilepet does not report its allocations reliably, and despite the lack of independent audits, the money is largely used to fund the war machine and the security forces.

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As of December 1, 2021, 3,159 people have died in the COVID-19 pandemic in Sudan. The response to the crisis is not as efficient as it should be, with the country’s economy contracting by 3.6 percent in 2020. A number of factors contribute to the high inflation rates and a burgeoning poverty rate. However, local businesses are likely to avoid keeping large amounts of cash in domestic deposit accounts.

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Oil has helped Sudan improve its economy dramatically over the past two decades. It has built several hydropower dams, with a fourth planned for Kajbar, Dal, and Sheriak. These dams have also helped the country to improve its air connectivity. The government has also increased its regulatory authority over air transport and set high standards for air safety. Direct foreign investment has also helped to improve the economy. This has made Sudan a desirable place for foreign investors.

The majority of Sudan’s income is derived from oil and gas. Sudan’s oil and gas production is its main source of income, according to the World Bank. The DHS various years and the World Bank’s 2010b estimate. Oil and gas production is another major source of revenue for Sudan. Further, the country’s government is committed to developing renewable energy sources and improving the quality of life of its citizens.