Wednesday, May 11, 2011
Closure
After thorough research and exploring, I have found that Sudan is a country that is slowly growing in terms of its economy but it still struggles from internal problems that inhibit the potential of the economy. Conflicts between different regions in Sudan, unemployment, and education still remain huge problems for the nation of Sudan but the country is making progress. Sudan has lightened its policy on foreign trade and now allows more imports from countries that Sudan originally did not do business with. Sudan's GDP has been on the rise in the past 20 years or so but the main problem is to address the education issue in the country. If Sudan can successfully show progress in its Education area, then Sudan can overcome its status as a poverty stricken third world country and possibly become a powerful nation.
International Trade
"Sudan has long had an adverse foreign trade balance. Foreign trade has been negatively influenced by the civil war and international isolation. In August 1999, Sudan started exporting oil. Nearly 70 percent of the oil production is exported. In 1999-2000, the country experienced its first trade surplus . That surplus rose to US$500 million in 2000 on exports of US$1.7 billion and imports of US$1.2 billion.
Foodstuffs are the most important import into Sudan. But steel and alloy products were the main industrial items having been imported to Sudan. Their imports accounted for US$76.6 million. Spare parts import accounted for US$88.3 million, audio and video devices for US$43.1 million, refrigerators for US$112.2 million, personal cars for US$30.2 million, lorries and trucks for US$38.7 million, and buses for US$6.8 million."
Sudan's Fiscal and Monetary Policy
"Agriculture is central to the issue of rural poverty in particular and poverty in
general. Stressing agricultural and rural development helps to avert famines and
food insecurity, boost non-oil exports and provide inputs to manufacturing, in
addition to producing wage goods. The issue of efficient allocation of such inputs
as credit, pesticides, fertilizers and energy is important, as the modern mechanized
sector claims most of the resources while the traditional rain-fed sector lags
behind. The World Bank Sudan Country Economic Memorandum (World Bank, 2003)
notes that in spite of the fast growth of output in agriculture by some 20 per cent
during the 1990s, there is evidence that poverty is on the rise, especially in the rainfed sector. This highly conspicuous jobless growth calls for an explanation. Critical
issues here include infrastructure and institutions (monopolies, credit, etc.).
The federal/state fiscal nexus is also important. States are denied the authority to
levy taxes, yet they are expected to provide for social services (education, health,
etc.) out of meagre federal transfers through the State Support Fund (SSF).
Although the level of public expenditure was cut drastically in an effort to reduce
budget deficit and to stabilize the economy, the structure of public expenditure
needs to be scrutinized to ensure effectiveness in combating poverty. Expanding
the revenue base is also an important issue.
Sudan partially introduced Islamic banking in 1984, and completely in 1992. It is
one of the very few countries in the world where the financial system is based
completely on Islamic principles. In this case, it poses the challenge of conducting
monetary policy on the basis of interest-free instruments. An interesting question is
how the cost of Islamic finance compares to the cost of finance according to the
traditional banking practices. Another issue is whether banks were restructured in a
way suitable for providing financial services according to Shari’a principles – an
issue which is very relevant to poverty reduction.
Oil is starting to be an important factor in the economic equation of Sudan. Oil
revenue (on account of crude oil exports, net profits from local sales, income from
Sudapet and bonuses) jumped from $63.5 million in 1999 to a yearly average of
about $700 million during 2000-2002. It should increase more dramatically starting
2005, reflecting the increase in the government’s actual share beyond the costrecovery phase. Oil exports now are four times greater than non-oil exports, and
government revenue from oil exceeds non-oil revenue. Attention needs to be
given to macro management in the medium term to avoid currency appreciation
and associated Dutch disease symptoms.
The prospects of an end to the civil war in Sudan, the longest internal conflict in
Africa, present both opportunities and challenges. The mere end of this strife
should enhance the fortunes of the Sudanese economy, which currently hangs in 4
the balance. On the other hand, the eruption and intensification of the conflict in
Darfur recently has a clear and strong bearing on issues of growth, wealth sharing,
income distribution and poverty. It further underscores the regional/geographical
and ethnic dimension of poverty in the Sudan."
http://www.sd.undp.org/publications/Macroeconomic.pdf
general. Stressing agricultural and rural development helps to avert famines and
food insecurity, boost non-oil exports and provide inputs to manufacturing, in
addition to producing wage goods. The issue of efficient allocation of such inputs
as credit, pesticides, fertilizers and energy is important, as the modern mechanized
sector claims most of the resources while the traditional rain-fed sector lags
behind. The World Bank Sudan Country Economic Memorandum (World Bank, 2003)
notes that in spite of the fast growth of output in agriculture by some 20 per cent
during the 1990s, there is evidence that poverty is on the rise, especially in the rainfed sector. This highly conspicuous jobless growth calls for an explanation. Critical
issues here include infrastructure and institutions (monopolies, credit, etc.).
The federal/state fiscal nexus is also important. States are denied the authority to
levy taxes, yet they are expected to provide for social services (education, health,
etc.) out of meagre federal transfers through the State Support Fund (SSF).
Although the level of public expenditure was cut drastically in an effort to reduce
budget deficit and to stabilize the economy, the structure of public expenditure
needs to be scrutinized to ensure effectiveness in combating poverty. Expanding
the revenue base is also an important issue.
Sudan partially introduced Islamic banking in 1984, and completely in 1992. It is
one of the very few countries in the world where the financial system is based
completely on Islamic principles. In this case, it poses the challenge of conducting
monetary policy on the basis of interest-free instruments. An interesting question is
how the cost of Islamic finance compares to the cost of finance according to the
traditional banking practices. Another issue is whether banks were restructured in a
way suitable for providing financial services according to Shari’a principles – an
issue which is very relevant to poverty reduction.
Oil is starting to be an important factor in the economic equation of Sudan. Oil
revenue (on account of crude oil exports, net profits from local sales, income from
Sudapet and bonuses) jumped from $63.5 million in 1999 to a yearly average of
about $700 million during 2000-2002. It should increase more dramatically starting
2005, reflecting the increase in the government’s actual share beyond the costrecovery phase. Oil exports now are four times greater than non-oil exports, and
government revenue from oil exceeds non-oil revenue. Attention needs to be
given to macro management in the medium term to avoid currency appreciation
and associated Dutch disease symptoms.
The prospects of an end to the civil war in Sudan, the longest internal conflict in
Africa, present both opportunities and challenges. The mere end of this strife
should enhance the fortunes of the Sudanese economy, which currently hangs in 4
the balance. On the other hand, the eruption and intensification of the conflict in
Darfur recently has a clear and strong bearing on issues of growth, wealth sharing,
income distribution and poverty. It further underscores the regional/geographical
and ethnic dimension of poverty in the Sudan."
http://www.sd.undp.org/publications/Macroeconomic.pdf
Inequalities in Sudan
"One of the root causes of conflict in Sudan is a sense of marginalization from the corridors of power and a share in national wealth. For generations Sudan's rulers have come from the far north of the country. This imbalance was encouraged by colonial rule; at the time of independence only a handful of parliamentarians did not hail from the Nile valley north of Khartoum. As soon as power becomes inaccessible or people lose control of the administration of resources, grievances begin to emerge.
Holding these grievances in check requires an independent legislature, executive and judiciary at whatever level is most appropriate and practicable; in a country as large and diverse as Sudan the most appropriate or practicable level is unlikely to be the centre. If people are more closely involved with policy changes that affect their daily lives and most matter to them, such as education, healthcare and transparent revenue sharing leading to improved livelihoods, they will be more inclined to accept that some decisions need to be taken at the centre. In other words, effective decentralization strengthens the centre, and by encouraging participation, strengthens transparent and accountable governance. Decentralization guards against civil war by ensuring that everyone has access to power and acknowledging their right to decide for themselves how they wish to control their resources and manage their society.
Decentralization is therefore an important part of the peace process. The Comprehensive Peace Agreement (CPA) between the Sudan People's Liberation Movement/Army (SPLM/A) and the Government of Sudan - and the Interim National Constitution it initiated - have helped to address the regional inequalities in Sudan by bringing the decision-making process closer to the people, both by giving states more devolved power and by recognizing southern Sudan as a separate administrative entity enjoying substantial autonomy within Sudan. These achievements are testament to the positive working relationships between the two negotiating parties and to the early agreement on wealth sharing during the Naivasha process."
Wednesday, March 30, 2011
Employment in Sudan
Unemployment rate: 18.7%
Labor Force: 11.92 million
Labor Force by Occupation:
agriculture- 80%
industry-7%
services- 13%
Female Economic Activity rate (ages 15 and up): 23.7%
Male Economic Activity rate 71.1%
Estimated Earned Income (PPP US$)
Men- $2,999
Women- $756
Adult Literacy Rate (ages 15 and up)
Men- 71.1%
Women- 51.8%
http://www.arab-api.org/conf_0310/p27.pdf
https://www.cia.gov/library/publications/the-world-factbook/geos/su.html
Labor Force: 11.92 million
Labor Force by Occupation:
agriculture- 80%
industry-7%
services- 13%
Female Economic Activity rate (ages 15 and up): 23.7%
Male Economic Activity rate 71.1%
Estimated Earned Income (PPP US$)
Men- $2,999
Women- $756
Adult Literacy Rate (ages 15 and up)
Men- 71.1%
Women- 51.8%
http://www.arab-api.org/conf_0310/p27.pdf
https://www.cia.gov/library/publications/the-world-factbook/geos/su.html
Wednesday, March 23, 2011
Sunday, March 6, 2011
Socio-Cultural Background of Sudan
Religion: Seventy percent of the population are Sunni Muslim, 25 percent follow traditional indigenous beliefs, and 5 percent are Christian.
Indigenous Beliefs: The indigenous religion is animist, ascribing spirits to natural objects such as trees, rivers, and rocks. Often an individual clan will have its own totem, which embodies the clan's first ancestor. The spirits of ancestors are worshiped and are believed to exercise an influence in everyday life. There are multiple gods who serve different purposes. Specific beliefs and practices vary widely from tribe to tribe and from region to region. Certain cattle-herding tribes in the south place great symbolic and spiritual value on cows, which sometimes are sacrificed in religious rituals.
Ethnic Relations: More than one hundred of Sudan's tribes coexist peacefully. However, relations between the north and the south have a history of animosity that dates to independence. The north is largely Arab, and the south has resented their movement to "Arabize" the country, replacing indigenous languages and culture with Arabic. This conflict has led to bloodshed and an ongoing civil war.
Social Classes and Castes: Northern Sudanese have more access to education and economic opportunities and generally are better off than southerners. In the south, many of the upper class and politically powerful are Christian and attended missionary schools. In many Sudanese tribes, class and social status are traditionally determined by birth, although in some cases it took a good deal of savvy by the upper classes to maintain their positions. Among the Fur group, ironworkers formed the lowest rung of the social ladder and were not allowed to intermarry with those of other classes.
Indigenous Beliefs: The indigenous religion is animist, ascribing spirits to natural objects such as trees, rivers, and rocks. Often an individual clan will have its own totem, which embodies the clan's first ancestor. The spirits of ancestors are worshiped and are believed to exercise an influence in everyday life. There are multiple gods who serve different purposes. Specific beliefs and practices vary widely from tribe to tribe and from region to region. Certain cattle-herding tribes in the south place great symbolic and spiritual value on cows, which sometimes are sacrificed in religious rituals.
Ethnic Relations: More than one hundred of Sudan's tribes coexist peacefully. However, relations between the north and the south have a history of animosity that dates to independence. The north is largely Arab, and the south has resented their movement to "Arabize" the country, replacing indigenous languages and culture with Arabic. This conflict has led to bloodshed and an ongoing civil war.Social Classes and Castes: Northern Sudanese have more access to education and economic opportunities and generally are better off than southerners. In the south, many of the upper class and politically powerful are Christian and attended missionary schools. In many Sudanese tribes, class and social status are traditionally determined by birth, although in some cases it took a good deal of savvy by the upper classes to maintain their positions. Among the Fur group, ironworkers formed the lowest rung of the social ladder and were not allowed to intermarry with those of other classes.Labor
Population Demographics: 45,047,502
0-14 years: 42.1% (male 9,696,726/female 9,286,894)
Labor Force: 11.92 million
Labor Force By Occupation
services: 13%
0-14 years: 42.1% (male 9,696,726/female 9,286,894)
15-64 years: 55.2% (male 12,282,082/female 12,571,424)
65 years and over: 2.7% (male 613,817/female 596,559)
Labor Force: 11.92 million
Labor Force By Occupation
agriculture: 80%
industry: 7%
services: 13%Unemployment Rate- 18.7%
Agriculture Products: cotton, groundnuts (peanuts), sorghum, millet, wheat, gum arabic, sugarcane, cassava (tapioca), mangos, papaya, bananas, sweet potatoes, sesame; sheep, livestock
Industries: oil, cotton ginning, textiles, cement, edible oils, sugar, soap distilling, shoes, petroleum refining, pharmaceuticals, armaments, automobile/light truck assembly
Monday, February 28, 2011
History of Sudan
Sudan's International Relations: Sudan's Darfur Crisis has penetrated almost all of its bordering nations. Due to the ethnic and rebel militia fighting, the border states have provided shelter for many fleeing refugees. Janjawid armed militia and Sudanese military have driven about 200,000 Darfur region refugees into eastern Chad; large numbers of Sudanese refugees have also fled to Uganda, Ethiopia, Kenya, the Central African Republic, and the Democratic Republic of the Congo.
Market Economy: Sudan adopted the market economy in 1992 and the country's rate of growth of GDP averaged 5.6% during the 1995-1999 period. Sudan has adopted a federal system of government that has allocated financial resources in the States Development Fund to cater for economic development activities.
Government: Sudan used to be under control of Egypt and Britain but in 1953, Sudan gained independence. Since independence, Sudan has been ruled by a series of unstable parliamentary governments and military regimes. Under Maj. Gen. Gaafar Mohamed Nimeiri, Sudan instituted fundamentalist Islamic law in 1983. Sudan then experienced a very brutal and horrific civil war that lasted for several years. Then, In April 2010, Bashir easily won Sudan's first multi-party elections since 1986, with 68% of the vote. Several opposition parties boycotted the election, and international observers questioned the fairness of it, citing ballot-box stuffing and other allegations of fraud. Bashir's supporters cite the marked improvement in infrastructure completed during his presidency—new schools, hospitals, and roads. All are products of the oil boom.
http://ciaworldfactbook.us/africa/sudan
Market Economy: Sudan adopted the market economy in 1992 and the country's rate of growth of GDP averaged 5.6% during the 1995-1999 period. Sudan has adopted a federal system of government that has allocated financial resources in the States Development Fund to cater for economic development activities.
Government: Sudan used to be under control of Egypt and Britain but in 1953, Sudan gained independence. Since independence, Sudan has been ruled by a series of unstable parliamentary governments and military regimes. Under Maj. Gen. Gaafar Mohamed Nimeiri, Sudan instituted fundamentalist Islamic law in 1983. Sudan then experienced a very brutal and horrific civil war that lasted for several years. Then, In April 2010, Bashir easily won Sudan's first multi-party elections since 1986, with 68% of the vote. Several opposition parties boycotted the election, and international observers questioned the fairness of it, citing ballot-box stuffing and other allegations of fraud. Bashir's supporters cite the marked improvement in infrastructure completed during his presidency—new schools, hospitals, and roads. All are products of the oil boom.
http://ciaworldfactbook.us/africa/sudan
Thursday, February 17, 2011
Sudan's Exports/Imports
Top Imports of Sudan
1. Manufactured Goods
2. Medicines
3. Transport equipment
Top Exports of Sudan
1. Crude Oil
2. Petroleum
3. Sugar
http://www.economywatch.com/world_economy/sudan/export-import.html
1. Manufactured Goods
2. Medicines
3. Transport equipment
Top Exports of Sudan
1. Crude Oil
2. Petroleum
3. Sugar
http://www.economywatch.com/world_economy/sudan/export-import.html
Monday, February 7, 2011
Background Info of Sudan
Geography: Sudan is the largest country in Africa. It is located on the northern end of Africa, where it borders the Red Sea, and it is between the nations of Egypt and Eritrea.
Area: 2,505,810 sq. km
Climate: tropical in the south, desert in the north; rainy seasons vary by regions
Natural Resources: petroleum, small reserves of iron ore, copper, chromium ore, zinc, tungsten, mica, silver, gold, hydropower
Population: 40,187,486 (July 2005)
Religions: Sunni Muslims (70%), indigenous beliefs (25%), Christian (5%)
Capital City: Khartoum
Additional Info: Sudan is actually traversed from north to south by the Nile River, with all its tributaries partly or entirely within the country's borders
Major Cities: Omdurman, Khartoum, and Port Sudan
Languages: Arabic (official), English (official), Nubian, Ta Bedawie, diverse dialects of Nilotic, Nilo-Hamitic, Sudanic languages
https://www.cia.gov/library/publications/the-world-factbook/geos/su.html
http://www.mongabay.com/igapo/Sudan.htm
Area: 2,505,810 sq. km
Climate: tropical in the south, desert in the north; rainy seasons vary by regions
Natural Resources: petroleum, small reserves of iron ore, copper, chromium ore, zinc, tungsten, mica, silver, gold, hydropower
Population: 40,187,486 (July 2005)
Religions: Sunni Muslims (70%), indigenous beliefs (25%), Christian (5%)
Capital City: Khartoum
Additional Info: Sudan is actually traversed from north to south by the Nile River, with all its tributaries partly or entirely within the country's borders
Major Cities: Omdurman, Khartoum, and Port Sudan
Languages: Arabic (official), English (official), Nubian, Ta Bedawie, diverse dialects of Nilotic, Nilo-Hamitic, Sudanic languages
https://www.cia.gov/library/publications/the-world-factbook/geos/su.html
http://www.mongabay.com/igapo/Sudan.htm
Wednesday, February 2, 2011
Welcome!
Welcome to my blog about Sudan! Here I would like to take a look at the struggling economy of Sudan. There are various areas of the nation that can be attributed as the reasons for Sudan's troubles but the specific subtopic I am going to look into is mainly the Sudanese Education.
Thursday, January 27, 2011
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