Friday, March 13, 2009

Business Journal Africa article on Sudan

Looks like Business Journal Africa is off the web, otherwise I'd do a link to their article. That wont stop us from getting it to our dear readers, though. I've copied it to the post below.

A few small points of error in the article, and an unusual dancing around of the current foreign currency shortfalls, especially within the Government of Southern Sudan.

As some readers here may know, the central government in Khartoum has been withholding monthly oil dividends from the GOSS. Why? Because it is what they do. And, the low price of oil is severely cutting revenues (oil represents more than 80% of Khartoum's exports).

Never fear, however. GOSS is chasing down options and finding solutions in a responsible and thorough manner. More on this to come. The article leaves out a few points; namely that although the GOSS is having trouble finding cash right now, that does not mean that cash is lacking. It's there and those that supply it to the market (through banks and foreign currency exchangers) are really doing well -- if they can keep the foreign currency coming in.

Apart from this, we're starting to see an (anecdotal) loss of the Sudanese Pound to the Dollar. About 20-25% since the beginning of the year!

Now, here's the article. Click on the images to bring up a readable version.

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