Banking Expert justifies Banks raising dollar prices

Sudan Events – Rehab Abdullah

Former Director of the Animal Wealth Bank and former Director General of the National Agency for Financing and Insurance of Exports, Ahmed Babiker Hamour, justified the raising of some Sudanese banks’ foreign exchange rates against the Sudanese pound, in an attempt to narrow the gap between the two markets.
Hamour explained in his interview to ( Sudan Events ) that the current policy of the Central Bank CBS gives banks the right to deal freely with foreign currency prices, noting that banks do not raise the price in the parallel market, but rather it is an attempt to narrow the gap between the two markets in order to obtain foreign currency to meet their various obligations.
Hamour affirmed that banks, like others, are harmed by the rise in the price of foreign currencies, due to its negative effects on the value of their assets, so Hamour stated that it is not in the interest of banks to increase the price of foreign currencies, and therefore they do not seek to do so, due to the high demand for foreign currencies in contrast to the limited supply of them, which leads to a continuous rise in the prices of these currencies.
Hamour called on the Central Bank CBS to work hard to adopt policies that would limit or reduce demand and work to increase supply, the most important sources of which are exports and expatriate savings.
Two weeks ago, banks began raising the prices of foreign currencies to approach the parallel market prices significantly, as the price of the dollar in banks exceeded the SDGs1700 barrier, while its price in the parallel market ranged between SDGs 1920 and SDGs1940.