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July’s inflation rate in Sudan increases to 46.8%


August 7, 2014 (KHARTOUM) – Sudan’s monthly inflation rate edged upwards in the month of July to 46.8% from 45.3% in June amid sharp increases in prices of goods and services.

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FILE - Men wait to buy meat at the market in Khartoum, Sudan (REUTERS/Mohamed Nureldin Abdallah)

Double-digit inflation has been one of the most visible features of the Sudanese economy in recent years which suffered a shock after the secession of South Sudan which contained three quarters of oil reserves.

To makes matters worse, the government phased out subsidies twice in 2012 and 2013 on petroleum and food products triggering demonstrations that were swiftly quelled.

The Sudanese pound lost more than half its value thus making imports more expensive. The East African nation imports most of its food from abroad.

The International Monetary Fund (IMF) said in a report last month that it expects inflation in 2014 to drop sharply to 18% from 41.9% in 2013.

The markets witnessed a wave of price increases over the past month and consumers complained of a steady rise in the prices of basic commodities in conjunction with the approach of the Muslim fasting month of Ramadan.


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