Sudan Raises Prices of Gasoline, Diesel

Motorcyclists queue-up for fuel at a gas station in al-Amarat district of Sudan's capital Khartoum on June 10, 2021.
Motorcyclists queue-up for fuel at a gas station in al-Amarat district of Sudan's capital Khartoum on June 10, 2021.
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Sudan Raises Prices of Gasoline, Diesel

Motorcyclists queue-up for fuel at a gas station in al-Amarat district of Sudan's capital Khartoum on June 10, 2021.
Motorcyclists queue-up for fuel at a gas station in al-Amarat district of Sudan's capital Khartoum on June 10, 2021.

Sudan's energy ministry raised the price for car petrol to 620 Sudanese pounds ($1.07) per liter from 522 pounds per liter, it said in a statement on Thursday.

It raised the price for diesel to 720 pounds per liter from 672 pounds, it said.

The Ministry said the decision came as part of its monthly revision policy based on international prices of petroleum products.

Meanwhile, Minister of Finance and Economic Planning, Jibril Ibrahim, said on Wednesday that the government is borrowing limited sums of money from the Central Bank, but was still able to control inflation.

The Sudanese economy has been in crisis for years. However, the economic collapse deepened since the military seized control in a coup in October 2021, halting a transition towards democratic elections following Bashir's overthrow in a 2019 uprising.

Meanwhile, western governments have suspended crucial aid in addition to a debt restructuring program that is supervised by the International Monetary Fund (IMF).

Asked about the amount of local currency printed by the Central Bank, Ibrahim said: “Not much. We have a ceiling and fortunately we have not reached that limit.”

Ibrahim told Reuters on the sidelines of the COP27 climate talks in Egypt, that Sudan is borrowing within the limits set by the IMF.

“This is not negatively affecting inflation or the exchange rate,” he said.

International lenders and western donors said economic support to Sudan would resume once a civilian government is established.

Lately, Sudan's military leaders have submitted notes on a draft constitution as a basis for talks under international mediation.



Gold Hits Three-week Peak on Softer Dollar and Safe Haven Inflows

Gold bullion displayed in a store in the German city of Pforzheim (dpa)
Gold bullion displayed in a store in the German city of Pforzheim (dpa)
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Gold Hits Three-week Peak on Softer Dollar and Safe Haven Inflows

Gold bullion displayed in a store in the German city of Pforzheim (dpa)
Gold bullion displayed in a store in the German city of Pforzheim (dpa)

Gold prices touched their highest level in three weeks on Friday supported by a softer dollar and safe-haven buying, while markets braced for potential economic and interest rate changes from US President-elect Donald Trump's proposed policies.

Spot gold was little changed at $2,658.11 per ounce, as of 1115 GMT, hitting its highest level since Dec. 13. Bullion is up about 1.5% for the week so far.

US gold futures were steady at $2,672.20.

The dollar index fell 0.3% from over a two-year high hit in the previous session, making dollar-priced bullion more affordable for holders of other currencies, Reuters reported.

"Gold bulls are setting the tone early doors this year, enjoying the lift from safe haven bids while riskier equities struggle to hold on to nascent gains," said Exinity Group Chief Market Analyst Han Tan.

On the geopolitical front, in Gaza Israeli airstrikes killed at least 68 Palestinians, Gaza authorities said. While, Russia launched a drone strike on the Ukrainian capital Kyiv on Wednesday, city officials said.

Trump's inauguration on Jan. 20 has heightened uncertainty, with his proposed tariffs and protectionist policies expected by many economists to be inflationary and potentially spark trade wars.

"Markets are aware that Trump's policies risk reawakening US inflationary impulses, which should be a boon for gold so long as markets adhere to the precious metal’s role as an inflation hedge," Tan added.

Bullion, which is considered a hedge against economic and geopolitical uncertainties, tends to thrive in lower interest rate environment.

After delivering three consecutive interest rate cuts in 2024, the US central bank now projects only two reductions in 2025 due to due to stubbornly high inflation.

Spot silver rose 0.6% to $29.75 per ounce.

"Lower real US yields and stronger global industrial production should favor the metal in 2025," UBS said in a note, adding that they see silver to trade between $36-38/oz in 2025.

Platinum added 0.8% to $930.09, and palladium gained 1.2% to $922.58. Both metals were on track for weekly gains.