
In a controversial move, the Sudanese government has introduced new banknotes and mandated that citizens open bank accounts, a strategy that Finance Minister Jibril Ibrahim claims has increased bank deposits and bolstered the army’s war efforts against the paramilitary Rapid Support Forces (RSF). However, critics argue that this initiative has marginalized millions from the financial system.
The ongoing two-year conflict between the army and the RSF has wreaked havoc on Sudan’s economy, causing the national currency to lose three-quarters of its value and pushing approximately half the population into hunger.
Unlike past currency exchanges, citizens must deposit their old notes into a bank to receive the new 500-pound (approximately $0.20) and 1,000-pound (about $0.50) notes. This requirement aims to draw funds from a largely unbanked population into the financial system. However, in regions controlled by the RSF, residents report relying on old currency, electronic transfers, U.S. dollars, and even Chadian rials for transactions.
Even in Port Sudan, the wartime capital, some residents have expressed dissatisfaction with the new banknotes. Traders have noted that the policy has adversely affected sales, as many people lack the necessary identification to open bank accounts, and many others do not own smartphones for online banking.
“Most of our capital is tied up in the bank. When you need cash, they may not provide it. You could spend an entire day trying to withdraw 50,000 pounds ($20) or 100,000 pounds ($40),” lamented fishmonger Ali Moneeb.
As the government navigates this challenging economic landscape, the dual objectives of enhancing financial inclusion and supporting military operations continue to spark debate among citizens and critics alike.