Sudanese Pound Extends Decline as Government Raises Customs Dollar Rate

Sudan’s local currency has fallen to record lows, with the US dollar trading at 5,000 Sudanese pounds in Saturday’s parallel market, marking an unprecedented surge in volatility.

In parallel, the government raised the indicative customs exchange rate from 3,395 to 3,517 pounds within just one week.

Earlier last week, the currency had seen a slight recovery following a sharp downturn described as the most severe in months, when the dollar traded at around 4,700 pounds.

Currency traders told Sudan Tribune that foreign exchange markets experienced severe instability on Saturday, with the dollar rising to 5,000 pounds compared to about 4,800 pounds in previous days.

They noted that the UAE dirham reached 1,400 pounds and the Egyptian pound 100 pounds, while some traders have been withholding foreign currency sales.

One trader said demand for foreign exchange has increased significantly, with some transactions exceeding the 5,000-pound level, warning of further depreciation if strong demand for hard currency continues.