Overview

  • Sudan sits at the crossroads of Sub-Saharan Africa and the Middle East, Egypt, bordering it to the north, Libya and Chad to the west, and Eritrea and Ethiopia to the east. Its capital, Khartoum, lies at the confluence of the White and Blue Niles, and its main port on the Red Sea. Although mostly desert, it has fertile land, mountains, and livestock.

    The country has been beset by conflict for most of its independent history. Under the terms of a peace agreement in 2005, its southern states seceded, forming the Republic of South Sudan in 2011.

    The secession of South Sudan induced multiple economic shocks. The most important and immediate was the loss of the oil revenue that accounted for more than half of Sudan’s government revenue and 95% of its exports. This has reduced economic growth, and resulted in double-digit consumer price inflation, which, together with increased fuel prices, triggered violent protests in September 2013.

    Since December 2013, South Sudan’s civil war continues to put pressure on Sudan by drastically reducing cross-border oil flows. In addition, more than 400,000 people have sought safety in Sudan and along with an increase because of the 2017 famine.

    Following the global oil price slump in 2015/2016, Sudan and South Sudan agreed to lower oil transit fees for South Sudanese oil via Sudan’s pipeline, as it became uneconomic to export it. In December 2016, they extended their 2012 agreement on oil for three years on the same terms, with the exception of provisions for the adjustment of transit fees in line with global oil prices.   

    Armed conflict in Sudan’s westernmost region of Darfur has subsided but many parts of the region remain precarious because of the proliferation of arms and banditry. Efforts to settle another conflict in South Kordofan and Blue Nile remain deadlocked.  

    Comprehensive U.S. sanctions on Sudan, levied in 1997 and expanded in 2006, were lifted in October 2017, allowing previously banned financial and trade transactions between U.S. citizens and entities and their Sudanese counterparts. However, Sudan continues to be designated by the U.S. as a state sponsor of terrorism, preventing full normalization of relations with the US. Talks to remove the designation are expected to begin soon.

    Away from oil, agriculture and livestock are essential to Sudan’s economic diversification and could contribute to medium-term macroeconomic stability. These sectors presently contribute approximately 35%–40% of Gross Domestic Product (GDP), but could contribute significantly more with greater investment and better governance. Sudan now recognizes the need for greater attention to agriculture and livestock, as reflected in its Interim Poverty Reduction Strategy Paper (I-PRSP) and the Five-year Program for Economic Reforms approved by its parliament in December 2014. 

    Sudan remains a highly-indebted country that has accumulated sizeable external arrears and has been in non-accrual status with the World Bank Group (WBG) since 1994. At the end of 2015, its external debt amounted to $50 billion (61% of GDP) in nominal terms, about 84% of which was in arrears.

     

    Last Updated: Oct 02, 2018

  • The overriding goal of the World Bank Group (WBG) is to support the reduction of extreme poverty and improve the prospects for more shared prosperity in Sudan. In this context, the WBG Interim Strategy Note (ISN) has been structured around two pillars: managing the economic transition; and addressing the socio-economic roots of conflict, with a crosscutting focus on governance and gender.

    In its strategy for Sudan, the WBG continues to build a dynamic portfolio of projects, that now amount to $185 million, by mobilizing third-party financial resources (largely through Bank-managed multi-donor trust funds). 

    In November 2017, Sudan released the results of its 2014-2015 poverty survey, putting the nationwide rate of poverty at 36.1%.

    Given Sudan’s ongoing economic transition, the World Bank’s technical assistance and knowledge resources will be key to guiding authorities in identifying a path toward inclusive and shared growth. These include a range of reports and analyses, such as Enabling the Business of Agriculture, the Diagnostic Trade Integration Study, as well as the new Country Economic Memorandum.

    Given Sudan’s current lack of access to International Development Association funding, the WBG program will continue to be resourced through trust funds, partnerships, and the Bank budget.

     

    Last Updated: Oct 02, 2018

  • Since 2013 up to 2018, the World Bank Group’s engagement in Sudan was carried almost exclusively through the different Trust fund entrances.

    • Basic Education Recovery Project - Since it became effective in July 2013, Sudan Basic Education Recovery Project had largely met its objectives pouring towards improving the learning environment and increasing the availability of textbooks in primary schools across the targeted areas. The project printed and distributed 9.8 million textbooks, completed the construction of 1182 classrooms, and provided grants to 6399 schools. The total number of student enrolled was 6,020,820, of which females’ percentage was 47%, School enrollment in the 18 sub-national states (where the project constructed classrooms), has increased by 20.4%. The project managed to have school census, it has a setup of various indicators with a continuity of five years’ follow-up of data in a very simplified manner. That ensured the easiness of data entry, analysis, and reporting. Two rounds of National Learning Assessment have been developed to assess the quality of education within two grades (three and six) in the Basic Education level
    • Social Protection Safety Net Project - The project aims to strengthen the capacity of the Ministry of Welfare and Social Security (MoWSS) to transparently and effectively implement the national Cash Transfer (CT) Program, beside piloting a Productive Safety Net (PSN) approach for poor households. The project has strengthened the implementation of the ministry’s cash transfer program: 128,000 beneficiaries have been recertified using the mixed method of geographical selection, proxy means testing (PMT), and community validation. The Management Information System (MIS) infrastructure and training to support the recertification process are in place and the data is being verified frequently. In addition, PSN targeted and reached 1000 households, of which 300 are “female headed households,” about 400 CT staff were trained, and 400 CT beneficiaries also received training.

    • Natural Resource Management: Through the Sustainable Natural Resource Management Project (which is financed through the Global Environmental Facility), sustainable land and water management practices have been adopted in more than 101,796 hectares of land in different parts of Sudan. In general, more than 41,000 people (of which 45% are females), benefited from the project’s activities. Specifically, for farmers, 2000 have benefited from the project’s livelihood activities.

    • FCPF REDD Readiness - The REDD+ project design inclined towards being a social and environmental national Readiness programme for the carbon markets. Phase I achievements between 2014-2018 include: 

      - Technical studies on the "drivers of deforestation" and "land tenure"
      - Benefit sharing mechanism to channel carbon finance to local communities
      - National REDD+ Strategy
      - National Forest and Rangelands Inventory and Forest Reference Emission Level (FREL)

     

    Last Updated: Oct 02, 2018

  • The current World Bank portfolio of investments and knowledge activities cuts across a range of key issues and includes several investment projects financed through the Global Partnership for Education, the Global Environment Facility, and the State & Peacebuilding Fund Strategic Initiative.

    In 2014, the World Bank Group introduced the Sudan Multi-Partner Fund (SMPF), with an initial donor commitment of $11 million (met approximately by $15 million as governmental financing). The SMPF is reveling support from the United Kingdom Department for International Development (UKAid) and Norway. 

     

    Last Updated: Oct 02, 2018

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LENDING

Sudan: Commitments by Fiscal Year (in millions of dollars)*

*Amounts include IBRD and IDA commitments


PHOTO GALLERY

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Additional Resources

Country Office Contacts

Main Office Contact
Khartoum 2, street 39, Plot 39
P.O. Box 229
Khartoum, Sudan
+249-156-553-000
For general information and inquiries
Gelila Woodeneh
Sr. Communications Officer
Addis Ababa, Ethiopia
+(251) 115176000
gwoodeneh@worldbank.org
For project-related issues and complaints
sudanalert@worldbank.org