• FULL mini budget speech

    Read the full mini budget speech delivered by Finance Minister Pravin Gordhan.

  • #FeesMustFall reporting

    What are the real issues and whose voices are being suppressed by social media, asks Solly Moeng.

  • Matchmaker businesses

    Multisided platforms can create huge value for society and fortunes for entrepreneurs, says Ian Mann.

All data is delayed
See More

Sudan wins $1.5bn loan

Jan 09 2013 13:59

Abu Dhabi - Sudan has secured a $1.5bn loan from a Chinese bank that was guaranteed by state oil firm China National Petroleum Corp (CNPC), Sudan's finance minister said on Wednesday, throwing a lifeline to the African country. 

Sudan has been struggling with an economic crisis since losing three-quarters of its oil production when South Sudan became independent in 2011. Oil was the main revenue source for the budget and for dollars needed to buy basic food imports such as wheat and sugar. 

Sudan has avoided an "Arab spring" revolution that toppled rulers in Egypt, Tunisia and Libya but annual inflation running at 46.5% in November has sparked small protests against the government. 

"The $1.5bn loan will be used to bridge the fiscal gap and enhance our balance of payments," Ali Mahmoud told Reuters in Abu Dhabi, adding the loan was granted on December 31. He declined to name the bank. 

China is Sudan's biggest trading partner apart from Gulf Arab oil producers and the biggest investor in the oil industry in Sudan and South Sudan. 

Mahmoud also said Sudan would boost agricultural exports this year to help offset the loss of oil. 

"With most of our oil exports gone, we are enhancing agricultural products exports. This year we are expecting to export edible oil and will cut imports of sugar by half," he said. 

He spoke after the signing ceremony for a $45m loan for Sudan from the Arab Monetary Fund (AMF), an Abu Dhabi development fund.   


Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.



Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

Do you use all your downloaded apps on your smartphone?

Previous results · Suggest a vote