The recurrent cause of Ethiopia’s forex crunch ranges from declining export performance to increasing imports; from declining net official public and private capital to stagnating individual transfers, …
The Ethiopian economy has not in recent years been battered with as severe a shortage of foreign currencies as now. The situation has exasperated to the point where factories have been forced to operate under capacity, crucial medicines are disappearing from pharmacies and many goods are not found on shelves of supermarkets. The amount of international reserve has dwindled. It only covers 1.8 months of imports by the end of the last fiscal year. Continue reading Forex Crunch: Ethiopia’s Immovable Object→
Sudan’s inflation rate has risen to 55,6% in March compared to 54,34% in February, reported the Central Bureau of Statistics (CBoS)
In January, the director of the Troubled Currencies Programme at Johns Hopkins University Steve Hanke said Sudan’s inflation has skyrocketed to a record high of 122% pointing the East African country “now has the second highest inflation rate in the world after Venezuela”. Continue reading Sudan’s Inflation Climbs Over 55 pct in March→
Sudan’s central bank on Sunday announced it will devalue the local currency to 31.50 Sudanese pounds against the US dollar, the second such move in weeks amid soaring inflation.
The new official exchange rate will go into effect on Monday, the central bank said on its website. The Sudanese pound has been trading at an official rate of 18 to the dollar but on the black market it has hit an all-time low and was selling for between 40 and 43 to the dollar on Sunday. Continue reading Sudan Devalues Pound to 31.5 Against US Dollar→
The illegal outflow of foreign currency out of Ethiopia has gone up recently. Since the recent drop of the birr (Ethiopian currency) by 15% against the US dollar, the illegal flight of US dollar and the number of people attempting to smuggle US dollar out of the country have increased dramatically. Continue reading Ethiopia: Capital Flight Reaching Alarming Level→