The First Economic Conference… Will It Succeed in Overcoming the Challenges of the War in Sudan?

Towards the First Economic Conference to Address the Challenges of War, the Ministry of Finance begins its efforts to resolve the issues that have worsened since the outbreak of the war in mid-April 2023 in Sudan. The country has experienced a deterioration in development levels, weakness in development capacities, a shortage of local financial resources, and a sharp imbalance in the production structure of the economy, leading to a decline in investment rates, the flight of both national and foreign capital, and an increased reliance on imports.

On June 4th, the Minister of Finance and Economic Planning, Jibril Ibrahim, formed a high-level committee to prepare for the economic conference, chaired by the Undersecretary for Economic Planning, Mohammed Bashar, and included a number of experts, academics, and representatives from the private sector.

The economic conference sessions will be held on November 19-20, under the auspices of Sudan’s Sovereign Council Chairman, Abdel Fattah al-Burhan.

Mohammed Bashar, head of the preparatory committee for the conference, said in a press conference in Port Sudan (on Thursday): “The war has also affected the general budget and state revenues, as expenditures have increased, and the budget deficit has risen, leading to further structural imbalances and weakened governance of commerce. As a result, Sudan is now facing major challenges in rebuilding its institutions and infrastructure, and is seeking to develop plans for economic recovery to address these extraordinary circumstances.”

He noted that this requires scientific economic discussions and dialogues by specialists and stakeholders to develop proposals and practical solutions that address all current issues, while offering a vision for a better future for Sudan’s economy. This includes strengthening the partnership between the public and private sectors based on scientific principles that take into account the past experience, current challenges, and future prospects.

He continued, “The Ministry of Finance and Economic Planning, in coordination with the ministries of the economic sector, decided to organize a comprehensive economic conference aimed at diagnosing the state of the economy, analyzing the current issues caused by the effects of the war, and proposing appropriate solutions, with a focus on development as an entry point for economic recovery through gathering ideas and opinions from experts both inside and outside Sudan to benefit from them in achieving the conference’s goals.”

According to Bashar, the conference aims to analyze and diagnose the current economic situation resulting from the ongoing war’s impact, relying on scientific papers and data from reliable sources. It also aims to evaluate the macroeconomic policies in Sudan, develop a vision and practical solutions to halt economic deterioration, and improve economic performance in two phases (immediate and medium-term). The role of external economic relations in mitigating the negative impacts of the war and enhancing public-private partnerships to diversify economic resources and achieve sustainable growth will also be discussed.

Focus on Governance and Institutional Management in the Economic Administration of the State

He said: “The First Economic Conference to Address the Challenges of War is an attempt to read the near future and create short-term plans to deal with the reality that the war has created.”

Bashar pointed out that several scientific papers will be presented, including topics on macroeconomic policies such as fiscal policies, monetary policies, trade policies, as well as investment policies. Other topics will focus on productive and service sectors, basic needs, economic partnerships, external economic cooperation, governance, and institutional reform.

On his part, Munther Abbas Mohamed Ali, head of the organizing committee for the preparatory committee of the conference, stated that investors are hesitant due to the war. However, he explained that they had presented a paper on how to utilize the resources of secure states, with a model from the Red Sea state, whose resources are entirely underutilized. He explained that the state has Blue Economy resources that remain untapped.

He added, “The Red Sea State has dormant resources, and we have a plan to present them to foreign investors,” revealing that Sudan has received external investment offers in the oil and gas sector.