Wednesday, November 22, 2006

兑换率 / Exchange rate




The booming economy of Sudan is largely supported by petroleum industry. In year 2001, the exchange rate was USD1 = SDD255 (Sudanese Dinar). It remained relatively stable till I left Sudan in May-2005,

A few days ago, a Sudanese ex-colleague informed that the exchange rate recently has appreciated to SDD204, an incredible 20% hike within 18 months! This would create problems to foreign investors on the increasing local costs (labour, facilities etc).

Rumours said this exchange rate is going to be pushed up to SDD150 within short. I’m not an economist, but I could foresee lots of economy chaos will follow subsequently. Very likely this is another political ploy.