The Sudanese government is facing major difficulties in curbing runaway inflation and the relentless rise in prices, as the economic crisis continues to deepen amid the war between the Sudanese Armed Forces and the Rapid Support Forces (RSF), which has been ongoing for three and a half years. Citizens are increasingly unable to cope with the prevailing conditions and bear the mounting cost of living. Inflation continues to rise, while the Sudanese pound has plunged in value, with the US dollar exceeding 8,000 Sudanese pounds on the parallel market.
The cost-of-living crisis is not confined to food and consumer goods. It has also spread to school fees, rent, fuel, medicines, electricity, water, transportation and other essential expenses.
Meanwhile, the government is attempting to introduce measures to ease the burden by opening discount markets and deploying mobile markets offering subsidised prices in an effort to curb inflation. However, these efforts have yielded little impact amid low wages and depleted savings. Economic observers believe the economic decline could be halted if the country’s available resources were effectively utilised and its capacity to produce, mine and attract investor confidence restored.
An Exhausted Citizenry
Amna Mahmoud, a housewife living in Omdurman, says that before the war, her husband’s salary was sufficient to meet the needs of their four-member family. Today, however, his salary no longer covers even half the month because of the soaring prices affecting every aspect of life and placing an increasingly heavy burden on citizens.
She explains that the rising cost of living has increased household expenditure, while additional financial pressures have further eroded people’s purchasing power and changed their lifestyles. With monthly salaries remaining limited, individuals are finding it increasingly difficult to secure even the most basic necessities and meet essential living requirements.
“Citizens are fighting a daily battle for survival that is no less severe than the fighting on the battlefield itself. Their incomes are no longer sufficient to cover their most pressing needs,” she says.
Mahmoud points out that the government has been unable to restore normal living conditions for citizens, despite reassuring displaced people and refugees that the country was moving towards stability. As a result, many rushed back to their homes in an unprecedented response, without adequately assessing the circumstances they would face. They were subsequently confronted with a harsh reality characterised by spiralling prices.
She says the crisis has pushed a large segment of the population, particularly economically vulnerable households, into begging. The rising cost of living has gone far beyond food prices to include housing rents, school fees, electricity and water bills, transportation, bread and other basic expenses.
Mahmoud adds that keeping up with the continuous rise in prices has become a major source of anxiety for citizens. Many complain that they can no longer afford even the minimum requirements of daily life, let alone meet additional expenses arising from emergencies such as illness or other unforeseen circumstances.
She also highlights the deterioration, and sometimes complete absence, of essential services, particularly access to clean drinking water and a reliable electricity supply.
“Overall, the situation is extremely difficult,” she says.
The Bitterness of Daily Life
Hamed Youssef, who lives in southern Khartoum, says it is distressing to see prices rising dramatically with each passing day. Traders attribute the increases to shortages of foreign currency and the depreciation of the local currency.
“Citizens have been placed in an extremely difficult position. Everyone is suffering from the bitterness of daily life, and the number of people living in extreme poverty is increasing at an alarming rate,” he says.
He adds that tensions are growing among both traders and consumers, with both groups complaining about deteriorating conditions. There are fears that the situation could spiral out of control, particularly as there are no clear signs of an end to the rapid economic decline while the war continues.
Youssef concludes by saying that people are living in fear because of unchecked inflation and the spread of theft, looting, killings and other social problems.
“Everyone is asking what solutions are available to prevent a complete collapse that could lead to widespread chaos driven by hunger,” he says.
Halting the Economic Decline
Economic researcher Abdulwahab Jumaa believes the government could halt the economic decline despite the ongoing war if it effectively mobilised the resources available to the country.
He argues that Sudan possesses significant resources across productive sectors that could serve as a foundation for recovery in relatively secure areas. These include agriculture and mining, alongside opportunities to expand the cultivation of crops such as sorghum, millet, groundnuts, gum arabic and sesame, as well as encouraging small-scale food-processing industries.
Jumaa adds that combating corruption and activities in the parallel market, increasing public revenues, and avoiding unjustified financial burdens on companies operating in the fuel, energy and food sectors, as well as commercial businesses, could help slow the accelerating economic deterioration.
He explains that the government must establish a legal and regulatory framework capable of attracting investment that can withstand the risks associated with the current situation, while providing adequate security guarantees. He notes that some investors have returned to the country despite the ongoing war.
The economic researcher stresses that the future of Sudan’s economy will depend largely on the policies adopted by the government, which faces two broad options: continuing with its current approach or implementing more effective governance of public resources and investment activities to help restore stability and achieve economic growth.
Limited Efforts
Economic analyst Asim Abdelaziz points out that the government’s ability to contain the escalating cost-of-living crisis will remain limited for as long as the war continues.
The conflict, he says, has destroyed large sections of the country’s economic infrastructure, disrupted factories and businesses, displaced farmers and workers, and undermined investor confidence.
He adds that any improvement in the exchange rate of the Sudanese pound is likely to remain limited unless the country regains security and stability. Continued fighting means further declines in production, reduced investment and shrinking foreign-currency inflows.
Abdelaziz further explains that the war has reduced Sudan’s opportunities to obtain external grants and loans that could help alleviate the crisis. Securing new financing from institutions such as the International Monetary Fund, the World Bank and the African Development Bank requires a stable government capable of implementing the necessary economic reforms.
Foreign investment also requires an environment that is difficult to establish under current conditions, particularly in terms of security, as investors seek guarantees that their investments and profits will be protected.
The economic analyst concludes that even if Sudan were to receive billions of dollars in grants, this would not permanently halt the depreciation of the Sudanese pound unless the economy regained its productive capacity, revitalised its mining sector and restored its ability to attract investment.
