Sudan's Devaluation Debt Relief Path Eased by Dollar Trading

In this July 24, 2011, file photo, Sudan's new currency sits behind a window at the central bank in Khartoum, Sudan. (AP)
In this July 24, 2011, file photo, Sudan's new currency sits behind a window at the central bank in Khartoum, Sudan. (AP)
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Sudan's Devaluation Debt Relief Path Eased by Dollar Trading

In this July 24, 2011, file photo, Sudan's new currency sits behind a window at the central bank in Khartoum, Sudan. (AP)
In this July 24, 2011, file photo, Sudan's new currency sits behind a window at the central bank in Khartoum, Sudan. (AP)

Sudan’s devaluation of its currency last month, a long-awaited step in tackling the country’s chronic economic crisis, initially caused confusion among banks, traders and clients.

Yet less than two weeks after Sudan slashed the value of its pound and put a managed float in place, its banks are gradually taking over currency trades, opening the way for billions of dollars in debt relief and the unlocking of new finance.

The Sudanese government is already getting some help from donor funds previously blocked by sanctions and the delay in exchange rate reform.

The central bank weakened the official exchange rate to 375 Sudanese pounds, close to the black market rate, from the previous 55 pounds on Feb. 21. Sudanese authorities have since moved cautiously as they encourage citizens to use banks, while trying to cut off supplies of dollars to the black market.

Channeling transactions through banks will eventually help build up a foreign exchange cushion to finance imports to Sudan, which has been in a state of political transition following the April 2019 overthrow of former president Omar al-Bashir.

Soon after the central bank’s move, customers began returning to exchange houses and commercial banks to buy Sudanese pounds, after years of resorting to the black market.

In the first week, banks bought $25.4 million in foreign currency and sold $20.4 million, central bank governor Mohamed al-Fatih Zainelabidine told state TV on Saturday.

“We have started selling our dollars to the bank because the price is realistic and reasonable, and this way we also support our country’s economy,” said 53-year-old Ali Khaled, an employee at a foreign company waiting to sell dollars at a small bank branch in central Khartoum this week.

Customers can only buy foreign currency for central bank approved purposes such as travel, education, medical treatment or the import of goods, and only with supporting documents.

Under the rules laid out by the central bank, travelers can buy a maximum of $1,000 every six months, and banks must sell any leftover foreign exchange to it each day.

Black market traders report a big decline in activity and the rate has stayed close to the official one. A dollar went for 375 pounds on the black market on Tuesday, against the day’s official rate of 378.

The devaluation could also test Sudan’s banks, some of which have significant foreign currency debts, as only 18 out of 37 passed a recent stress test, a local banker said.

“If there is a shortage of foreign currency for imports we will be back in business,” one trader on the black market said.

Both the government and major importers are expected to stop dipping into the black market to secure strategic commodities.

“The government was one of the biggest buyers in the black market. Now the government has stopped,” said Amin Shibeika, general manager at a Khartoum bank.

And authorities say they are taking steps to ensure dollars are available for imports of scarce commodities and medicines, to limit pressure on the Sudanese currency.

‘Positive effect’
Sudan has also introduced measures aimed at attracting remittances, which the United Nations estimated at $2.9 billion in 2018, and investment from Sudanese living abroad.

Meanwhile, the central bank will also begin a system of foreign currency auctions with local banks to help boost their supply of dollars, Zainelabidine said.

The International Monetary Fund’s most recent estimate put Sudan’s reserves at $234 million, or 0.4 months of imports and the country is heavily reliant on donors for funds.

About half of an initial $400 million in donor funding for the rollout of a project to provide $5 cash welfare payments to much of the population has been deposited with Sudan’s ministry of finance, according to officials.

“That will be helpful in that its hard currency dollars that will be used to buy Sudanese pounds, and that will have a positive effect,” Brian Shukan, the United States’ Charge d’Affaires in Sudan, told Reuters.

Diplomats expect a donor and investment conference scheduled for May in Paris to be followed within two months by a meeting of Paris Club and other creditors to start clearing around 65% of Sudan’s estimated $58 billion debt over three years.

That would allow Sudan to borrow for larger projects such as infrastructure, they said.

And a bridge loan pledged by the US would clear $1.055 billion in arrears to the World Bank and unlock access to up to $2 billion in new World Bank funds over two years, Shukan added.



Saudi Aramco Achieves 70% Local Content Target through iktva Program

Saudi Aramco Achieves 70% Local Content Target through iktva Program
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Saudi Aramco Achieves 70% Local Content Target through iktva Program

Saudi Aramco Achieves 70% Local Content Target through iktva Program

Saudi Aramco announced on Wednesday that its supply chain transformation program, iktva (In-Kingdom Total Value Add), has achieved its target of reaching 70% local content.

Building on this milestone, the company said that it plans to increase local content in its goods and services procurement to 75% by 2030.

Since its launch, the iktva program has contributed more than $280 billion to the Kingdom’s gross domestic product, reinforcing its role as a key driver of industrial development, economic diversification, and long-term financial resilience.

Through the localization of goods and services, the program has strengthened the resilience and reliability of Aramco’s supply chains, enhanced operational continuity, reduced supply chain vulnerabilities, and provided protection against global cost inflation - capabilities that proved critical during periods of disruption.

Aramco President and CEO Amin Nasser expressed pride in the scale of transformation achieved through iktva and its positive impact on the Kingdom’s economy, noting that the announcement represents a major milestone in the program’s journey and reflects a significant leap in Saudi Arabia’s industrial development, fully aligned with the Kingdom’s national vision.

“iktva is a core pillar of Aramco’s strategy to build a competitive national industrial ecosystem that supports the energy sector while enabling broader economic growth and creating thousands of job opportunities for Saudi nationals,” he stressed.

By localizing supply chains, the program ensures operational reliability and mitigates disruptions that may affect global supply chains, he added, noting that its cumulative impact over a decade demonstrates the sustained value it continues to generate.

Over the past decade, iktva has emerged as a leading example of supply-chain-driven economic transformation, converting Aramco’s project spending into domestic economic multipliers that have created jobs, improved productivity, stimulated exports, and strengthened supply chain resilience.

The program has identified more than 200 localization opportunities across 12 key sectors, representing an annual market value of $28 billion. These opportunities have translated into tangible investment outcomes, catalyzing more than 350 investments from 35 countries in new manufacturing facilities within the Kingdom, supported by approximately $9 billion in capital. These investments have enabled the local manufacture of 47 strategic products in Saudi Arabia for the first time.

iktva has also contributed to the creation of more than 200,000 direct and indirect jobs across the Kingdom, further strengthening the local industrial base and national capabilities. To support continued growth, the program organized eight regional supplier forums worldwide in 2025, in addition to its biennial forum. These events helped connect global investors, manufacturers, and suppliers with localization opportunities in Saudi Arabia.


AirAsia X Unveils Kuala Lumpur-Bahrain-London Route

FILE PHOTO: Planes from AirAsia are seen on the tarmac of Kuala Lumpur International Airport Terminal 2 (KLIA2) in Sepang, Malaysia, February 26, 2024. REUTERS/Hasnoor Hussain/File Photo
FILE PHOTO: Planes from AirAsia are seen on the tarmac of Kuala Lumpur International Airport Terminal 2 (KLIA2) in Sepang, Malaysia, February 26, 2024. REUTERS/Hasnoor Hussain/File Photo
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AirAsia X Unveils Kuala Lumpur-Bahrain-London Route

FILE PHOTO: Planes from AirAsia are seen on the tarmac of Kuala Lumpur International Airport Terminal 2 (KLIA2) in Sepang, Malaysia, February 26, 2024. REUTERS/Hasnoor Hussain/File Photo
FILE PHOTO: Planes from AirAsia are seen on the tarmac of Kuala Lumpur International Airport Terminal 2 (KLIA2) in Sepang, Malaysia, February 26, 2024. REUTERS/Hasnoor Hussain/File Photo

Malaysian budget carrier AirAsia X on Wednesday unveiled plans to resume flights from Kuala Lumpur to London via a new hub in Bahrain, using the extended range of narrow-body jets to stitch fresh routes alongside established carriers.

The service, due to start in June, would make Bahrain AirAsia X's first hub outside Asia, placing it within reach of busy markets in Southeast Asia, the Middle East and Europe.

It also marks a ‌return to ‌the British capital more than a decade after the airline suspended ‌non-stop ⁠flights from Kuala Lumpur ⁠and retired its Airbus A340 jets.

Co-founder Tony Fernandes said Bahrain could become a regional gateway for underserved secondary cities across Asia, Africa and Europe.

"While ... of course London is a very emotional destination for many people in Southeast Asia, the real aim is to have a bunch of A321s flying maybe 15 times a day to Bahrain," he told Reuters in an interview.

"From Bahrain, you connect to Africa and Europe with a big emphasis ⁠on creating connectivity that doesn't exist."

The move follows Asia's ‌largest low-cost carrier completing its acquisition of the short-haul ‌aviation business from parent Capital A, bringing the group's seven airlines under one umbrella.

Fernandes, also CEO ‌of Capital A, stressed the importance of the Airbus A321XLR, an extra-long-range narrow-body aircraft ‌he said would let the airline replicate its Asian low-cost model on intercontinental routes.

"That aircraft enables me to start thinking we can do what we did in Asia to Europe and Africa," he said, citing potential secondary routes such as Penang to Cologne or Prague.

AirAsia plans to ‌redeploy its larger A330s to longer routes while building up the Bahrain hub, with possible African destinations including the Maghreb region, Egypt, ⁠Morocco, Tanzania and Kenya. ⁠A Bangkok-to-Europe route is also under consideration.

Fernandes played down direct competition with Gulf carriers such as Emirates and Qatar Airways, positioning AirAsia X as a budget option aimed at a different market.

"I'm all about stimulating a new market," he said. "We've got into our little playground (of) 3 billion people, most of them have not been to Europe."


Von der Leyen: EU Must 'Tear Down Barriers' to Become 'Global Giant'

(FILES) European Commission President Ursula von der Leyen delivers a speech in Brussels, on January 22, 2026. (Photo by NICOLAS TUCAT / AFP)
(FILES) European Commission President Ursula von der Leyen delivers a speech in Brussels, on January 22, 2026. (Photo by NICOLAS TUCAT / AFP)
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Von der Leyen: EU Must 'Tear Down Barriers' to Become 'Global Giant'

(FILES) European Commission President Ursula von der Leyen delivers a speech in Brussels, on January 22, 2026. (Photo by NICOLAS TUCAT / AFP)
(FILES) European Commission President Ursula von der Leyen delivers a speech in Brussels, on January 22, 2026. (Photo by NICOLAS TUCAT / AFP)

The EU must "tear down the barriers" that prevent it from becoming a truly global economic giant, European Commission chief Ursula von der Leyen said Wednesday, ahead of leaders' talks on making the 27-nation bloc more competitive.

"Our companies need capital right now. So let's get it done this year," the commission president told EU lawmakers as she outlined key steps to bridging the gap with China and the United States.

"We have to make progress one way or the other to tear down the barriers that prevent us from being a true global giant," she said, calling the current system "fragmentation on steroids."

Reviving the moribund EU economy has taken on greater urgency in the face of geopolitical shocks, from US President Donald Trump's threats and tariffs upending the global trading to his push to seize Greenland from Denmark.

AFP said that Von der Leyen delivered her message before heading with EU leaders including France's Emmanuel Macron and Germany's Friedrich Merz to a gathering of industry executives in Antwerp, held on the eve of a summit on bolstering the bloc's economy.

A key issue identified by the EU is the fact that European companies face difficulties accessing capital to scale up, unlike their American counterparts.

To tackle this, Plan A would be to advance together as 27 states, von der Leyen said, but if they cannot reach agreement, the EU should consider "enhanced cooperation" between those countries that want to.

Von der Leyen said Europe should ramp up its competitiveness by "stepping up production" on the continent and "by expanding our network of reliable partners", pointing to the importance of signing trade agreements.

After recent deals with South American bloc Mercosur and India, she said more were on their way -- with Australia, Thailand, the Philippines and the United Arab Emirates.

One of the biggest -- and most debated -- proposals for boosting the EU's economy is to favor European firms over foreign rivals in "strategic" fields, which von der Leyen supports.

"In strategic sectors, European preference is a necessary instrument... that will contribute to strengthen Europe's own production base," she said -- while cautioning against a "one-size-fits-all" approach.

France has been spearheading the push, but some EU nations like Sweden are wary of veering into protectionism and warn Brussels against going too far.

The EU executive will also next month propose the 28th regime, also known as "EU Inc", a voluntary set of rules for businesses that would apply across the European Union and would not be linked to any particular country.

Brussels argues this would make it easier for companies to work across the EU, since the fragmented market is often blamed for why the economy is not better.

The commission is also engaged in a massive effort to cut red tape for firms, which complain EU rules make it harder to do business -- drawing accusations from critics that Brussels is watering down key legislation on climate in particular.