IMF publishes forecasts for the Sudanese Economy

 The International Monetary Fund (IMF) expressed expectations for Sudan’s economy to grow after a brief contraction, coupled with a decline in annual inflation if the war between the Sudanese Armed Forces (SAF) and the Rapid Support Forces (RSF) ceases by the end of the year.

The (IMF) based its forecast on Sudan’s economic growth this year of (3.2%), instead of a (-0.4%) contraction, with growth rising to (9.5%) in 2026, instead of (8.8%).

Indeed, the (IMF) maintained its forecast of a (-23.4%) economic contraction in (2024).

The Fund explained that its forecast for Sudan’s economic growth assumes that the ongoing conflict in the country will end by the end of this year, with the process of reestablishment promptly taking place shortly thereafter.

According to the (IMF) the annual inflation rate is expected to decline to (54.6%) this year and to (16.1%) in 2026.

Noting that the annual inflation rate reached (87.2%) in 2024, the IMF’s forecasts are based on its experts’ estimates, given that Sudan has not updated its official economic data since (2019). Furthermore, the statistical system has not been updated since the (1980s), and the System of National Accounts (SNA) has not been updated since (1982).

At the moment, annual meetings of the International Monetary Fund and the World Bank are being held in Washington, D.C., and will continue until (October 18th). The conflict that has been raging in Sudan since (April 15th, 2023), resulted in widespread destruction to the industrial base, commercial, agricultural, and pastoral activities, in addition to reducing government revenues.