18 January 2014

Sudan: Foreign Accounts Closed of Several Sudanese Banks

Khartoum — A number of Sudanese banks were notified by their peers in China, Europe, Asia and Middle East that their accounts will be closed which would lead to a cessation of incoming and outgoing wire transfers to and from Sudan, sources said.

These same sources mentioned that three Sudanese banks received official letters informing them that financial transactions and trade with them have been suspended.

A group of Sudanese importers and exporters spoke of tremendous difficulties they face in obtaining letters of credit from foreign banks .

The director of the Inspection Department of the Central Bank of Sudan Asmaa Abdul-Rahman Khairi on Saturday acknowledged that Sudanese banks had their accounts closed abroad.

Kamal Karrar, an economic analyst, attributed the move to the existence of previously unsatisfied financial obligations by these banks which he said have created a bad reputation for them.

He warned that this could deprive these banks of international funding sources calling it a testimony to the lack of confidence in Sudan's banking system.

Karrar pointed that this would adversely impact the activity of importers and exporters, stressing that since the Islamization of the banking sector it only serves the interests of the ruling elite.

The analyst said that the recent developments reinforces the view of corruption in Sudan's public sector.

US sanctions dating back to the Clinton administration in 1997 bars any financial dealings with Sudan or institutions owned by Khartoum which complicates Sudan's access to international financial markets and US dollars.

Ads by Google

Copyright © 2014 Sudan Tribune. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 2,000 reports a day from more than 130 news organizations and over 200 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.