Economist Warns against Pumping More Money
Sudan Events – Nahid Oshi
Professor Naji Mustafa warned against pumping a new amount of money to meet the government exchange rate without a cover and said that the step would lead to more economic damage and loss of the value of the national currency.
In a statement to (Sudan Events) about the Bank of Sudan introducing a new denomination of one thousand pounds, he said “this money to compensate for the disbursement of the armed forces and the mobilized, it would have been more acceptable, but the government and the states are still carrying out unjustified disbursements as if the country is not witnessing a war, amid the big allocations for the holders of constitutional posts, governors, and ministers, while the popular campaigns bear a large portion of the financing of the mobilized and a significant portion of the expenses of the armed forces themselves”.
He added that it would have been more effective to change the currency to prevent looting operations and to preserve the Sudanese money that was looted and smuggled out of the country and out of the banking system, which led to an increase in the value of foreign currencies and a collapse in the price of the national currency.
He pointed out that the Central Bank is now suffering from a scarcity of liquidity due to the leakage of money from banks and the lack of production due to the war.
