We can overcome economic problems

Economist and Sudan’s former Minister of Finance Dr Sayed Ali Zaki expressed his optimism for the future of Sudanese economy in an interview with Arabstoday.  Speaking on Sudanese economy, Zaki acknowledged that the country has been suffering from several economic problems which have cast a negative shadow on the economy. Calling 2012 one of the most difficult years for Sudan, Zaki forecast better times in the coming year, adding that the 2013 budget comes amid better circumstances than other previous budgets. The former minister gave “internal and external factors” for the improvement. The internal factor, according to Zaki, is the increased agricultural productivity, which will provide locally-sourced food and material to export. This, he said, will have the effect of lessening the economic pressure on the treasury. As for the external factor, Zaki pointed out an increase in cooperation between Sudan and funding bodies, especially Arab ones, which financed several major projects that have supported local developments. The economist listed such projects as the heightening of the Roseires Dam on the Blue Nile and the construction of dams on the Atbara and as-Setait rivers in the east of the country. Zaki also referred to hard currency earned by Sudan through its exports of gold, and highlighted the positive potential of implementing the economic side of the agreement between Sudan and South Sudan, saying that it will lead Khartoum out of the economic crisis. Discussing the “insane” rise in the value of the dollar now, Zaki said it was caused by not implementing the cooperation agreement between the two countries. According to Zaki, as soon as the people feel that there are hurdles in the way of bringing the agreement into reality, there is a direct effect on the market and the currency exchange rate. As for the current row between Sudan and the International Monetary Fund, Zaki said it was caused by the IMF requesting that the government review some economic errors.  The Sudanese government took some economic measures that were, according to the economist, politically-driven. The IMF, Zaki goes on to explain, believes these measures are wrong and require a review.  The government, however, did not accept this, preferring to follow the usual route of blaming the IMF and accusing it of demanding harsh reforms for political reasons. Sudan accuses international funding agencies of being instruments of the western powers which have imposed sanctions on the country since Bashir rose to the presidency in 1989, concluded the economist.