Sudan Central Bank targets inflation

Jun 14, 2010

Sudan's Central Bank is to introduce a series of measures aimed at fighting inflation and supporting the country's pound currency.

Reuters reported today (June 14th) that the nation's Central Bank is planning to make a number of changes that will be introduced over the coming months. From July, banks will have to raise the amount of foreign and local currencies held as reserves from eight per cent to 11 per cent, while larger financial institutions will only be able to trade in physical currencies from three or four branches - a figure that will fall for smaller firms.

The moves are being introduced by the Bank - which was set up in 1960 and is chaired by Dr Sabir Mohamed Hassan - in response to the broad weakening of the Sudanese pound over recent months, with $1 (81c) currently able to buy 2.7 Sudanese pounds up from 2.5 in May.