kitayabi
July 22nd, 2011, 01:59 PM
July 21, 2011 (KHARTOUM) – The Sudanese government today announced that the new currency will be officially circulated next Sunday amid tensions with the new state of South Sudan on how to get rid of the old currency.
Sudan’s finance and national economy minister Ali Mahmood Hassanein told the parliament on Thursday that July’s salaries will be paid in the new currency.
He also cautioned on the possibility that some old Sudanese pounds would be smuggled into Sudan for the purpose of exchanging it with the new one and stressed that measures will be taken to prevent that.
Hassanein was apparently making reference to what Sudan perceives as attempts by the authorities in South Sudan to undermine their economy.
South Sudan has been resisting demands by Khartoum to hand over the old version of the pound circulated in the South which was estimated to be equivalent to $700 million.
The Central Bank of Sudan (CBoS) said last week that South Sudan wants to replace old pound only through exchanging it with foreign currency or commercial trade between the two countries.
But Hassanein today dismissed the demand saying that South Sudan can keep the old currency "in the museums".
"They can keep it the same way they kept the [Sudanese] flag [at South Sudan independence ceremony]" the minister said.
South Sudan has already issued its own currency this week.
The Sudanese official underscored that the South’s secession "created a new reality" adding the commercial dealings with the new state will be conducted only in foreign currency.
He noted a recent order by the South for 100,000 tons of corn from Sudan.
"If the South wants it, then [this purchase] will only be completed [at the current] world price," Hassanein said.
He further said that South Sudan is the most impacted by the country’s breakup where prices there has skyrocketed adding that Sudan’s economy on the other hand is strong and stable.
Both countries appeared to be in growing disarray over economic issues including currency and fees on transporting oil from the landlocked South through pipelines in Sudan. They have also yet to agree on splitting the national debt which stands at $38 billion.
(ST)
Sudan’s finance and national economy minister Ali Mahmood Hassanein told the parliament on Thursday that July’s salaries will be paid in the new currency.
He also cautioned on the possibility that some old Sudanese pounds would be smuggled into Sudan for the purpose of exchanging it with the new one and stressed that measures will be taken to prevent that.
Hassanein was apparently making reference to what Sudan perceives as attempts by the authorities in South Sudan to undermine their economy.
South Sudan has been resisting demands by Khartoum to hand over the old version of the pound circulated in the South which was estimated to be equivalent to $700 million.
The Central Bank of Sudan (CBoS) said last week that South Sudan wants to replace old pound only through exchanging it with foreign currency or commercial trade between the two countries.
But Hassanein today dismissed the demand saying that South Sudan can keep the old currency "in the museums".
"They can keep it the same way they kept the [Sudanese] flag [at South Sudan independence ceremony]" the minister said.
South Sudan has already issued its own currency this week.
The Sudanese official underscored that the South’s secession "created a new reality" adding the commercial dealings with the new state will be conducted only in foreign currency.
He noted a recent order by the South for 100,000 tons of corn from Sudan.
"If the South wants it, then [this purchase] will only be completed [at the current] world price," Hassanein said.
He further said that South Sudan is the most impacted by the country’s breakup where prices there has skyrocketed adding that Sudan’s economy on the other hand is strong and stable.
Both countries appeared to be in growing disarray over economic issues including currency and fees on transporting oil from the landlocked South through pipelines in Sudan. They have also yet to agree on splitting the national debt which stands at $38 billion.
(ST)