Economic Expert Confirms Difficulty of Improving Exchange Rate

Sudan Events – Rehab Abdullah

Economist Dr. Mohammad Al-Nayer has stressed the difficulty of improving the exchange rate under the current circumstances, and said, “It is considered an achievement if the deterioration is stopped at a specific level.”
In his statement to (Sudan Events), he considered this to be the first step towards economic reform and correcting the course of the economy by stopping this deterioration and stabilizing the exchange rate, pointing out that it is not necessarily the rate at which it stabilizes, but that the deterioration is stopped and stabilized in the first stage.
He suggested that the state move along specific paths regarding making a decision for the 1,000 and 500 pounds, or at least in the first period, accepting the 1,000 pounds in banks and not accepting them in commercial activity. He acknowledged that there may be some problems, especially for those in Khartoum State and some states where banks do not operate. Noting that there is talk about starting bank branches in Omdurman, which could address part of the issue, in addition to this matter activating electronic work, he added, “Those who are in war zones or elsewhere deal with electronic transactions more than cash transactions, so this was necessarily addressing a lot.” Among the issues,” he stressed the importance of monitoring accounts, and continued, “We do not say that statement of accounts is an unthinkable process, but when unusual funds come to some accounts, the state must be aware and aware, and this comes within the framework of combating money laundering and terrorist financing, and there are laws that support this matter.” “In a significant way,” he stressed the activation of these controls, in addition to controlling imports in general, and said, “During the last period, it is assumed that fuel imports will decrease by a large percentage, given that some states do not have car traffic, and therefore fuel consumption is less and only for the agricultural season and some states that have Transport and communications movement and the movement of private vehicles,” he called for rationalizing spending in relation to the general budget, arranging priorities, working to increase revenues, rationalizing revenues, working to increase exports, and working to reduce the phenomenon of gold smuggling and benefit from it to the greatest extent to support the national economy, while activating the security role.
Al-Nayer confirmed that these policies are more effective than security measures, but he stressed that security measures remain important and a complementary element to eliminating those who speculate in the exchange rate and currency trade.