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Friday, 23 March 2018

Government’s Procedures against Currency Brokers

The government exerted great efforts to combat currency brokers in the equivalent market in the context of economic reform

. The government promised and succeeded in controlling the hike of Dollar to the Sudanese pound, where those brokers escaped to the black market after the reduction in Dollar exchange rate to 28, 50 Pounds, with a maximum rate of 29, 64 Pounds and the minimum rate of 27, 36 Pounds which expected more decrease in the coming days.
Central Bank of Sudan CBS due this continuous reduction of the indicative rate of the dollar to exchange rate from 31 t0 18 pounds.
Informed sources stated to Sudan Vision that some of those currency brokers had left the country after the severe damage they suffered from according to these administrative and security governmental procedures.
Economic experts explained that the mediators in the currency brokers have their negative effect on the economy. They added that the big traders who have huge capitals are the actual controllers and they forecasting to read the nearest future, they are the most dangerous for they work to gather the large amounts of hard currency, and they automatically affect the on the rate according their ability in broking currency, and the rich of information they have, economic experts described them as the giant whales.
Procedures to Help in Stability of Exchange Rate:

Dr. Al Mahi Khalafallah, chairperson of the economic sector in the National Congress Party in Khartoum state due this reduction of the dollar rate to the recent government procedures that improved the value of the Sudanese Pound. He added that these procedures had succeeded into reducing the demand for which directly reflects on the rate. He assured that the increase in supplying of Dollar and to control in reducing demand contribute in stability of the exchange rate.

Weakness of the Market:

Economic experts who follow the economic situations believe that the contradiction represented into these movements of those currency brokers simultaneously with the Central Bank of Sudan CBS procedures or the partial lifting of reducing currency out the banking system which is affected on the currency brokers  in Sudan and abroad which resulted great damages represent in reduction of  the rate of exchange from 40 pounds to 34,33 pounds , they assured that these governmental procedures are the main reasons for reduction of the exchange rate  in Sudan .
It is noticeable that Khartoum witnessed some sort of calmness due to these procedures the two days followed this government step towards reform.
Deterrent Sanctions:

The Government had issued severed decisions to the declining of the Sudanese pound to the dollar, the government accused those currency and the mediator’s brokers work to destroy the national economy with Money laundry, financing terrorism.
Challenges of implementation:

Dr. Mohamed al Nayer, economic expert said that these government procedures contribute in correcting the economic track for short term, assuring that the big challenge will be in the implementing of these procedures in high quality in order to lead to positive results. He pointed to that these procedures have involved the important expatriates transforms, he continued, to correct such policies it is important to issue supportive decisions for the expatriates which assist in attracting about US$ 6-8 billion every year. 
Al Nayer described the flexible exchange rate adopted by the government is the suitable, and it requires a surplus of hard currency that will help in succeeding of this policy.
He called for stopping smuggling of supported commodities to the neighboring countries by closing borders, and to lift support from the commodities that he thinks as mobile issue .Beside al Naeer called to revise the policies that make the runback of national currency. He welcomed the decision of the Central Bank of Sudan CBS to organize all processes of buying and selling of Gold that represent 100 tones every year, hoping that will fulfill great success.
Luei  Abdul Muneim, banking expert due the reduction  of the value of the national currency to the dollar to reasons took place in the past and nowadays.