Sudan's Economy in Shambles: A Closer Look at the Crisis
Sudan is in a tough spot. The war has wrecked the economy, and the finance minister, Gibril Ibrahim, is trying to figure out how to fix it. He said the country has lost all its main sources of money. The fighting started nearly three years ago between the army and a rival group called the Rapid Support Forces (RSF).
Devastation and Economic Collapse
The war has destroyed a lot of things. Big companies and industries were mostly in the central part of the country, which is now in chaos. This area used to bring in about 80% of the government's money. Now, it's all gone. The government is thinking about making deals to rebuild infrastructure, especially around the Red Sea ports.
The prime minister recently moved back to Khartoum, but many government offices, including the finance ministry, are still not fully operational there. Ibrahim, who used to be a rebel leader, is now working with the army. He's dressed in a combat uniform, showing how serious the situation is.
Natural Resources and Humanitarian Crisis
Sudan has a lot of natural resources like oil, gold, and good farmland. But right now, it's facing the world's worst humanitarian crisis. Over half the population needs help just to survive.
Gold Production and Smuggling
- 2025 Gold Production: 70 tonnes
- Officially Exported: 20 tonnes
- Smuggled Gold: Mostly to the United Arab Emirates
Agriculture in Decline
- Exports of gum arabic, sesame, and peanuts have dropped by 43%
- Livestock industry exports have lost 55%
- Oil revenues have dropped by more than 50%
Rebuilding and Financial Challenges
Rebuilding the areas taken back by the army is going to cost a lot. The government estimates it needs $200 billion. They are looking for private investors to help with infrastructure projects. The Red Sea coast is a hotspot for foreign interest, with countries like Saudi Arabia and Qatar wanting to build ports there.
Military Spending and Public Debt
- Military spending: 40% of last year's budget (up from 36%)
- Public debt: 253% of GDP in 2023, slightly decreasing to 221% in 2025
- Inflation: 151% in 2025 (down from a peak of 358% in 2021)
- Currency collapse: Black market rate now at 3500 Sudanese pounds to the dollar (compared to 570 before the war)
Ibrahim's Role and Sanctions
Ibrahim has been in the government since 2021. He kept his position after a military coup later that year. He is one of several Sudanese officials sanctioned by the U.S. government.
