Economy Faces Risks from Dual Sudan Authorities

Growing fears in Sudan are centered around the potential for an economic division resulting from the establishment of two separate monetary authorities. A parallel government, led by the Rapid Support Forces, announced its own monetary entity in Darfur and appointed a governor of the central bank there. This has raised concerns about the stability of the currency and national economic unity. The appearance of old banknotes circulating in the markets, combined with the currency's devaluation of nearly 75% over three years, has intensified tensions between official and parallel institutions. There are also worries about the emergence of a dual banking system and the negative impact this could have on economic confidence and investment in the country.

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