Sudan's Gold Shakedown: Currency Crisis Amidst UAE Trade Tensions

The Sudanese pound has devalued significantly following a UAE embargo on flights from Port Sudan, affecting gold trade. The UAE's ties with Sudan's army, pivotal for gold exports, face strain amid accusations of UAE backing the rival RSF force. This embargo further destabilizes Sudan's economic reliance on gold exports.

The Sudanese pound has depreciated dramatically, losing nearly 40% of its value due to an effective embargo on flights from Port Sudan to the UAE, disrupting crucial gold trades, according to traders and officials in Sudan.

The nation's armed forces depend heavily on UAE for hard currency derived from gold exports, yet relations have soured as the army accuses UAE of supporting the opposing Rapid Support Forces during a protracted civil war.

As international trade routes via the UAE become obstructed, the Sudanese economy, which heavily relies on legal gold exports primarily consumed by the UAE, faces a precarious outlook with surged prices in essential commodities in regions under army dominion.

(With inputs from agencies.)