Annex I. Sudan: Relations with the Fund

(As of July 31, 2012)

Membership Status

Joined 09/05/1957; Article VIII.

General Resources Account

	SDR Million	Percent Quota
Quota	169.7	100.00
Fund holdings of currency (Exchange Rate)	352.42	207.67
Reserve Tranche
Position	0.01	21.47

View Table

	SDR Million	Percent Quota
Quota	169.7	100.00
Fund holdings of currency (Exchange Rate)	352.42	207.67
Reserve Tranche
Position	0.01	21.47

SDR Department

	SDR Million	Percent Quota
Net cumulative
allocation	177.99	100
Holdings	125.35	70.43

View Table

	SDR Million	Percent Quota
Net cumulative
allocation	177.99	100
Holdings	125.35	70.43

	SDR Million	Percent Quota
Quota	2927.3	100.00
Fund holdings of currency	2298.9	78.53
Reserve position in Fund	628.4	21.47

View Table

	SDR Million	Percent Quota
Quota	2927.3	100.00
Fund holdings of currency	2298.9	78.53
Reserve position in Fund	628.4	21.47

Outstanding Purchases and Loans

	SDR Million	Percent Quota
Stand-by
Arrangements	116.86	68.86
Trust Fund	59.23	34.9
Extended
Arrangements	65.83	38.79

View Table

	SDR Million	Percent Quota
Stand-by
Arrangements	116.86	68.86
Trust Fund	59.23	34.9
Extended
Arrangements	65.83	38.79

Latest Financial Arrangements

			Amount	Amount
	Date of	Expiration	Approved	Drawn
Type	Arrangement	Date	(SDR Million)	(SDR Million)
Stand-By	Jun 25, 1984	Jun 24, 1985	90.00	20.00

View Table

			Amount	Amount
	Date of	Expiration	Approved	Drawn
Type	Arrangement	Date	(SDR Million)	(SDR Million)
Stand-By	Jun 25, 1984	Jun 24, 1985	90.00	20.00

	SDR Million	Percent Quota
Quota	2927.3	100.00
Fund holdings of currency	2298.9	78.53
Reserve position in Fund	628.4	21.47

View Table

	SDR Million	Percent Quota
Quota	2927.3	100.00
Fund holdings of currency	2298.9	78.53
Reserve position in Fund	628.4	21.47

Projected Payments to Fund

	Overdue			Forthcoming
	31-Jul-12	2012	2013	2014	2015	2016
Principal	241.92
Charges/interest	741.36	1.19	2.34	2.34	2.34	2.34
Total	983.29	1.19	2.34	2.34	2.34	2.34

View Table

	Overdue			Forthcoming
	31-Jul-12	2012	2013	2014	2015	2016
Principal	241.92
Charges/interest	741.36	1.19	2.34	2.34	2.34	2.34
Total	983.29	1.19	2.34	2.34	2.34	2.34

	Forthcoming
	2009	2010	2011	2012	2013
Principal		8.28
Charges/interest	0.04	0.09	0.31	0.31	0.31
Total	0.04	0.09	0.31	0.31	0.31

View Table

	Forthcoming
	2009	2010	2011	2012	2013
Principal		8.28
Charges/interest	0.04	0.09	0.31	0.31	0.31
Total	0.04	0.09	0.31	0.31	0.31

Exchange Rate Arrangement

The legal tender is the Sudanese guinea, which replaced the Sudanese dinar in proportion SDG 1=SDD 100 in mid-2007. After the completion of a currency conversion to the new Sudanese guinea the Bank of Sudan (BOS) has allowed greater exchange rate flexibility than in 2006 and early 2007, suggesting a return to a floating exchange rate arrangement. Sudan maintains (i) an exchange restriction and a multiple currency practice arising from the imposition by the government of a cash margin requirement for most imports and (ii) an exchange restriction arising from the imposition of an absolute ceiling on foreign exchange for travel, subject to Fund approval under Article VIII, Sections 2(a) and 3. These restrictions were approved by the Board to end-June 2010. In addition, Sudan has recently introduced additional exchange measures and staff is currently assessing these measures to determine their compliance with Article VIII.

Sudan is on a 12-month consultation cycle. The last Article IV consultation discussion was concluded by the Executive Board on June 7, 2010.

FSAP Participation

The FSAP work took place during October 9–14, 2004 and was completed during December 1–14, 2004. The Financial System Stability Assessment report was discussed by the Executive Board on April 29, 2005.

Resident Representative

The Fund’s resident representative office in Khartoum was opened in October 2005, as a shared post with Djibouti. It was converted to a full post in September 2006.

Technical Assistance

In January 1995, the Executive Board decided to resume Fund technical assistance to Sudan. The following table contains a summary of the technical assistance provided since 2004. This assistance has been provided both from headquarters and from the IMF’s Middle East Technical Assistance Center (METAC).

Sudan: Technical Assistance from the Fund, 2004–12

Sudan: Technical Assistance from the Fund, 2004–12

Subject		Type of Mission	Timing	Counterpart
Fiscal Affairs Department
	Revenue administration assessment (including METAC)	Short-term	February and October 2005, May and August 2006, January 2007	Ministry of Finance (MOF)
	Expenditure control and management	Short-term	April 2006	MOF
	Restructuring of headquarters (METAC)	Short-term	November 2007	MOF
	Installation of STX (METAC)	Short-term	March 2008	MOF
	Tax and customs administration	Short-term	August 2006	MOF
	Cash management and budget classification (GFS) (including METAC)	Short-term	February 2004, May and September 2004, June and October 2005, April and October 2006, April, September and November 2007	MOF
	Public Finance Management Diagnostic	Short-term	October 2006, June 2007	MOF
	Implementing a TSA and improving cash management (including METAC)	Short-term	June and July 2008	MOF
	Self Assessment and Audit (METAC)	Short-term	March 2008	MOF
	Reorganization of the MOF and Public Finance Management Reforms	Short-term	January and February 2009	MOF
	Strengthening Tax and Customs Administration	Short-term	January 2009	MOF
	Fuel subsidy reform	Short-term	April 2012	MOF
Monetary and Capital Markets Department
	Introduction of new national currency	Short-term	February and April 2005,	Central Bank of
			January 2006, February and April 2007	Sudan (CBOS)
	Monetary management and banking supervision	Short-term	March and April 2006	CBOS
	Islamic compliant monetary instruments	Short-term	August 2006, May 2007	CBOS
	Monetary policy operations	Short-term	September 2004, June 2006	CBOS
	Banking supervision (METAC)	Short-term	August 2005	CBOS
	Central bank organization	Resident Advisor	September 2005, Feb. 2006-August 2007	CBOS
	Microfinance supervision and regulation	Short-term	December 2005	CBOS
	Liquidity management and forecast	Short-term	March 2006, November 2007	CBOS
	Payment systems	Short-term	November 2007	CBOS
	Bank regulation	Short-term	March and April 2006, May 2007	CBOS
	Banking operations	Short-term	April and July 2006	CBOS
	Banking supervision	Short-term	August, September and December 2006	CBOS
	Implementation of Islamic financial services board standards	Short-term	April 2008	CBOS
	Currency handling and reform	Short-term	November 2006	CBOS
Statistics Department
	National accounts, CPI and PPI statistics	Short-term	April 2007	Central Bureau of Statistics
				(CBS)
	Real sector statistics and CPI statistics	Short-term	March and September 2007, March	CBS
	(METAC)		2008
	Balance of payments statistics	Short-term	September 2006, January 2007	CBOS
	General data dissemination system (GDDS)	Short-term	June 2006, August and September 2007	CBS, MOF and CBOS
	Assessing technical assistance needs in	Short-term	May-June 2005	CBS, MOF and
	economic statistics (with METAC)			CBOS
	Government Financial Statistics	Short-term	October 2005, March 2007, July 2008	MOF
	Monetary and Financial Statistics	Short-term	December 2005, June 2006, July 2007, July 2008	CBOS
	Multisector Statistics	Short-term	April/May 2012	CBOS, MOF, CBS TAT
Legal Department
	Payment system law	Short-term	September 2007	CBOS

View Table

Sudan: Technical Assistance from the Fund, 2004–12

Subject		Type of Mission	Timing	Counterpart
Fiscal Affairs Department
	Revenue administration assessment (including METAC)	Short-term	February and October 2005, May and August 2006, January 2007	Ministry of Finance (MOF)
	Expenditure control and management	Short-term	April 2006	MOF
	Restructuring of headquarters (METAC)	Short-term	November 2007	MOF
	Installation of STX (METAC)	Short-term	March 2008	MOF
	Tax and customs administration	Short-term	August 2006	MOF
	Cash management and budget classification (GFS) (including METAC)	Short-term	February 2004, May and September 2004, June and October 2005, April and October 2006, April, September and November 2007	MOF
	Public Finance Management Diagnostic	Short-term	October 2006, June 2007	MOF
	Implementing a TSA and improving cash management (including METAC)	Short-term	June and July 2008	MOF
	Self Assessment and Audit (METAC)	Short-term	March 2008	MOF
	Reorganization of the MOF and Public Finance Management Reforms	Short-term	January and February 2009	MOF
	Strengthening Tax and Customs Administration	Short-term	January 2009	MOF
	Fuel subsidy reform	Short-term	April 2012	MOF
Monetary and Capital Markets Department
	Introduction of new national currency	Short-term	February and April 2005,	Central Bank of
			January 2006, February and April 2007	Sudan (CBOS)
	Monetary management and banking supervision	Short-term	March and April 2006	CBOS
	Islamic compliant monetary instruments	Short-term	August 2006, May 2007	CBOS
	Monetary policy operations	Short-term	September 2004, June 2006	CBOS
	Banking supervision (METAC)	Short-term	August 2005	CBOS
	Central bank organization	Resident Advisor	September 2005, Feb. 2006-August 2007	CBOS
	Microfinance supervision and regulation	Short-term	December 2005	CBOS
	Liquidity management and forecast	Short-term	March 2006, November 2007	CBOS
	Payment systems	Short-term	November 2007	CBOS
	Bank regulation	Short-term	March and April 2006, May 2007	CBOS
	Banking operations	Short-term	April and July 2006	CBOS
	Banking supervision	Short-term	August, September and December 2006	CBOS
	Implementation of Islamic financial services board standards	Short-term	April 2008	CBOS
	Currency handling and reform	Short-term	November 2006	CBOS
Statistics Department
	National accounts, CPI and PPI statistics	Short-term	April 2007	Central Bureau of Statistics
				(CBS)
	Real sector statistics and CPI statistics	Short-term	March and September 2007, March	CBS
	(METAC)		2008
	Balance of payments statistics	Short-term	September 2006, January 2007	CBOS
	General data dissemination system (GDDS)	Short-term	June 2006, August and September 2007	CBS, MOF and CBOS
	Assessing technical assistance needs in	Short-term	May-June 2005	CBS, MOF and
	economic statistics (with METAC)			CBOS
	Government Financial Statistics	Short-term	October 2005, March 2007, July 2008	MOF
	Monetary and Financial Statistics	Short-term	December 2005, June 2006, July 2007, July 2008	CBOS
	Multisector Statistics	Short-term	April/May 2012	CBOS, MOF, CBS TAT
Legal Department
	Payment system law	Short-term	September 2007	CBOS

Annex II. Sudan: Relations With the World Bank

(As of July 31, 2012)

1. The World Bank’s International Development Association (IDA) has no active lending portfolio in Sudan because of the country’s default on its financial obligations to IDA, which led to the suspension of disbursements in April 1993. After discussions between the World Bank and the Sudanese authorities on the need for Sudan to take steps toward normalizing its relations and establishing a track record with the World Bank, the authorities have been making small, intermittent debt service payments since mid-1999. The amount of payments has not been sufficient to prevent a continued accumulation of arrears, which currently stand at about US$ 695.6 million and are growing.

2. The World Bank was a major player in the reconstruction of Sudan following the Addis Ababa peace agreement of 1972, but was mostly absent from Sudan between 1993 and 2002. As the prospects for peace with the South rose in 2003, the World Bank formulated a strategy for a potential reengagement. Following the signing of the Comprehensive Peace Agreement (CPA) on January 9, 2005 by the Government of Sudan and the Sudan People’s Liberation Movement, the World Bank became the administrator for two large Multi-Donor Trust Funds (MDTFs) that support the CPA, and built up its program of non-lending support. Fifteen MDTF partners¹ have contributed US$ 790 million in paid-in funds to the MDTFs. MDTF-supported projects initially experienced implementation challenges, as have all development and recovery programs in Sudan, but performance has steadily improved. Significant results are being seen on the ground, including the successful MDTF-supported launch of the CPA-mandated new national currency and the completion of the 5^th Population Census, though daunting challenges remain—most notably low capacity, especially at the state level and in the South.

3. The World Bank’s Interim Strategy Note (ISN) for Sudan was discussed by the World Bank’s Board in April 2008. The ISN aims to support the Government of National Unity and the Government of Southern Sudan to sustain peace and reduce conflict by meeting the commitments contained in the CPA, Darfur Peace Agreement, and the Eastern Sudan Peace Agreement—particularly in war-affected and marginalized areas and in the fields of governance, basic services, and pro-poor economic growth. The ISN aims to help Sudan take important steps toward the achievement of the longer-term strategic vision enshrined in the CPA: promoting peace in Sudan by making it attractive through development, shared prosperity, and a reformed system of governance which serves all Sudanese.

4. The entry points for World Bank support—through management of the MDTFs and non-lending activities—vary according to the diverse conditions facing different regions of Sudan. At the National level, a focus on stabilizing peace entails a major role for analytical work and policy dialogue on implementing key provisions of the CPA (pro-poor growth, good governance and decentralization, empowerment), and—in the Three Areas and the East—on pro-peace development projects and building capacity for community-driven development and local service delivery. In Darfur, the World Bank works with partners, as security allows, to assess development and recovery needs and to make ready rehabilitation and development programs to be implemented in the event of peace. In the South, the main focus is on helping to build a competent, responsive and stable government based on good governance, rule of law, and transparency, while promoting efforts to empower and decentralize service delivery to the states, counties, and communities. Another key objective is to help Southern Sudan develop a long-term strategy to transform itself into a well-integrated, self-reliant, and viable economic unit that begins to harness its vast and rich natural resources for the welfare of its people. The substantial financial support through the MDTFs and the World Bank’s analytical and advisory services will be mobilized to meet these objectives.

5. With national elections recently completed, the focus of CPA implementation is now on preparations for the referendum in Southern Sudan due in early 2011.

6. IDA’s financial reengagement requires clearance of Sudan’s outstanding arrears. The clearance of these arrears can only be undertaken once a firm and comprehensive agreement among preferred creditors is in place. Such an agreement would also include significant reductions in bilateral debts, so as to make the total debt service obligations sustainable. Following the eventual clearance of IDA arrears, an exceptional IDA allocation for Sudan as a post-conflict country would be sought, and the World Bank would prepare another strategy document which would include, inter alia, a pipeline of projects.

7. The World Bank has completed a series of major non-lending products since the CPA, including a Public Expenditure Review, Diagnostic Trade Integration Study (on behalf of its Integrated Framework partners) and most recently a Country Economic Memorandum on sustainable and broad-based growth. Major non-lending products planned to be completed and delivered by the end of calendar 2010 include an Investment Climate Assessment focusing on the needs of small firms, an Environment and Natural Resources study, a Country Integrated Fiduciary Assessment, and for Southern Sudan studies on strengthening good governance and on States’ own revenue potential.

To enrich this menu of policy and analytical support, the World Bank will seek to deepen dialogue—and open up space for civil society participation in such dialogue—in areas such as: developing a Darfur reconstruction and development strategy; making decentralization work; transforming Southern Sudan into an integrated and viable economic unit; and local area development. The World Bank’s Financial Market Integrity Unit will continue its technical support to build capacity to combat money laundering through a proposed multi-phase program.

Annex III. Sudan: Relations with the African Development Bank

(As of July 31, 2012)

Group’s Portfolio and Arrears

1. Since its first intervention in 1971 in Sudan, the Bank Group (AfDB) has approved to date 33 operations amounting to a total net commitment of UA291 million.¹ The Bank also approved grants for emergency assistance under the Special Relief Fund in 2001, 2003 and 2008 amounting to a total of USD2.0 million. In terms of sector distribution, the portfolio is dominated by agriculture (54%), followed by infrastructure (28.6%), multi sector (8.9%), finance (6%) and social sectors (2.5%).

2. The Bank ongoing operation is the Institutional Capacity Building for Poverty Reduction and Good Governance Project (ICBPRGGP), approved in March 2007 for US$15 million in the form of a grant. Expected to be closed by end-2012, a major accomplishment of the ICBPRGGP was the completion in 2010 of the Sudan Baseline Household Survey (NBHS) for both the North and the South, which was instrumental in the subsequent preparation of the Interim Poverty Reduction Strategy Paper (I-PRSP) for Sudan and National Development Plan for South Sudan.

3. The AfDB has not been in a position of undertaking much needed regular investment activities in the country since 1995 because of arrears. As at end-July 2012, the arrears to the Bank stood at UA 207 million, of which UA 81.7 million from the African Development Fund (ADF) window and UA 125.4 from the African.

Sudan: Arrears to the AfDB Group as of 31 July 2012

(Thousands UA)

Sudan: Arrears to the AfDB Group as of 31 July 2012

(Thousands UA)

	Total	Principal	Charges
ADF	81,656.48	58,687.87	22,968.62
ADB	125,387.86	61,714.67	63,673.18
Total	207,044.34	120,402.54	86,641.80

View Table

Sudan: Arrears to the AfDB Group as of 31 July 2012

(Thousands UA)

	Total	Principal	Charges
ADF	81,656.48	58,687.87	22,968.62
ADB	125,387.86	61,714.67	63,673.18
Total	207,044.34	120,402.54	86,641.80

Annex IV. Sudan: Statistical Issues

(As of July 31, 2012)

Assessment of Data Adequacy for Surveillance

General: Sudan’s current statistical data base appears broadly adequate for surveillance and program monitoring, but needs further improvements, including upgrading the base year, coverage, periodicity and timeliness of national accounts data; improving labor market and direct investment data; and more detailed and comprehensive fiscal accounting. Enhancing the status of the Central Bureau of Statistics (CBS) with the authority and resources to compile and disseminate official statistics and coordinate the national statistical work program is important for further statistical improvements, and should be addressed within the context of the ongoing work in developing a five-year National Strategy for the Development of Statistics (2012-16). Retooling of the CBS’ computing infrastructure should also be accorded high priority.

National accounts: The CBS lacks a comprehensive data collection program, and relies largely on administrative reporting which is not optimal for national accounts compilation. Economic surveys were last conducted in the 1970s and 1980s, and the benchmarks derived from these surveys inform current estimates of value added. The compilation of GDP by activity depends heavily on indirect indicators of growth rates and price indicators that are less appropriate. Informal activities are not covered, and are likely to be significant in areas such as retail trade and construction. Sudan’s national accounts data are based on the System of National Accounts 1968 (SNA 1968), and the base year of the existing GDP constant price series (by activity and by expenditure) is 1981. National accounts statistics are compiled with a lag exceeding three years; and there are no national accounts or industrial production data at sub annual frequencies. On the expenditure side, data are lacking on final consumption by households, investment, and changes in stocks. The adoption of updated statistical guidelines (SNA 2008), rebasing of the national accounts, and developing procedures to improve the timeliness of GDP estimates should be among the core medium-term objectives of Sudan’s national accounts work program. There is an urgent need to increase funding to the CBS and to rebuild its capacity for conducting household, agricultural and enterprise surveys.

Price statistics: Practices in the production of the Consumer Price Index (CPI) are good. Monthly CPI data (base year=2007) are provided shortly after the end of each month. However, the CBS should begin developing plans for a new household expenditure survey to facilitate weight updates to the existing CPI. The CBS is developing for the first time, a quarterly producer price index (PPI) for manufactured goods. STA’s recent multisector statistics mission (April 2012) conducted a preliminary assessment of the methods and procedures for compiling the PPI; and issues regarding the frame and the sample size were raised with the authorities. The mission also advised on how the base year weights would need to be adjusted to reflect the reduced contributions of oil to the Sudan economy.

Government finance statistics: Government finance statistics reported to MCD are broadly adequate for program monitoring, with the main revenue, expenditure, and financing items reported on a monthly basis with a lag of about one month. The reported statistics are for the central government only, and do not include the states and publicly owned corporations. Data are submitted using an economic classification and, while the allocation of resources by MOFNE to the various ministries is reported, their actual expenditures are not. STA’s recent multisector statistics mission (April 2012) noted that there has been no significant progress in implementing GFS classifications at the level of state governments and all other sub-national governments and extra budgetary funds. The responsibility for GFS compilation and dissemination is not assigned to any specific unit within the MOFNE. The mission also found that there are no comprehensive data reconciliations on government claims on and liabilities to the banking system; and the recording of “arrears securities” is not in line with the GFSM guidelines. The compilation of consolidated GFS for the general government with the objective of producing the statement of government operations should be a key priority.

Monetary and financial statistics (MFS): Sudan has received significant technical assistance to improve the collection, compilation, and dissemination of monetary and financial statistics. STA’s recent multisector statistics mission (2012) found that all major recommendations made by the previous MFS mission in 2007 have been implemented. The current coverage of Sudan’s monetary statistics includes the CBOS and 32 commercial banks, which constitute the other depository corporations (ODCs). Due to South Sudan’s secession, the Bank of South Sudan (BOSS) and the conventional banks operating in South Sudan were excluded from the coverage of the CBOS and the ODCs, respectively, beginning with July 2011 data. The revised monthly statistical return has been used by all commercial banks to report data for compiling monetary statistics. However, stronger efforts are needed to improve the consistency in reporting of interbank data and the timeliness of data reporting and dissemination. The STA 2012 mission also identified areas for further improvement. Going forward, the CBOS should also develop a work program for collecting and compiling data on insurance corporations and pension funds for inclusion in Sudan’s monetary statistics.

External sector statistics: Daily exchange rate data are posted on the CBOS’ web page with minimal lags. There are several areas for improvement in the external accounts, particularly with regard to direct investment (DI), remittances, goods and services, capital transfers and oil statistics. The lack of survey data continues to affect the compilation of important balance of payments and IIP items such as direct investment. The BOS’s foreign exchange balances include reserves earmarked for particular purposes such as medicine, oil, and spare part imports, but the composition of these reserves and their potential usability in the event of a balance of payment need is not clear There is a need for clarification on items that qualify as reserves assets in general, and those earmarked reserves in particular. Compilation of the data template on international reserves and foreign currency liquidity should be initiated. Medium-term oil production projections and data on amortization of private sector debt need substantial improvement. The authorities have made some progress in improving oil projections, but appear reluctant to provide more detailed information on the phasing-in and expected production levels of new blocks and on amortization of debt in the oil sector. STA’s recent multisector statistics mission assisted the CBOS in improving the compilation of a number of balance of payments and IIP items, including in particular, the calculation of reserve asset positions that were incorrectly recorded with a negative sign for some months in 2011. The mission also advised on the treatment of external debt arrears in the balance of payments and the IIP, and recommended steps for initiating the collection of data on capital transfers. METAC is providing ongoing support in the implementation of the DI survey.

Data Standards and Quality

Sudan participates in the General Data Dissemination System (GDDS) since August 2003. GDDS metadata and plans for improvement need to be updated. No data ROSC is available.

Reporting to STA

Annual data reported for the Government Finance Statistics Yearbook cover only budgetary central government up to 1999. No monthly and quarterly fiscal data are reported for the International Financial Statistics (IFS). The reporting of external trade statistics for inclusion in the Direction of Trade Statistics (DOTS) database is done with significant lags. National accounts data are not provided for publication in the IFS. The CBOS has compiled and reported to STA for publication in the IFS, the Standardized Report Forms (SRFs) 1SR for the central bank and 2SR for ODCs. However, timeliness of data reporting and dissemination should be improved. The CBOS also reports to STA, quarterly balance of payments and annual IIP data. As a follow up the STA’s recent multisector statistics mission, the authorities should submit updated GDDS metadata for dissemination on the Dissemination Standards Bulletin Board.

View Table

Assessment of Data Adequacy for Surveillance

General: Sudan’s current statistical data base appears broadly adequate for surveillance and program monitoring, but needs further improvements, including upgrading the base year, coverage, periodicity and timeliness of national accounts data; improving labor market and direct investment data; and more detailed and comprehensive fiscal accounting. Enhancing the status of the Central Bureau of Statistics (CBS) with the authority and resources to compile and disseminate official statistics and coordinate the national statistical work program is important for further statistical improvements, and should be addressed within the context of the ongoing work in developing a five-year National Strategy for the Development of Statistics (2012-16). Retooling of the CBS’ computing infrastructure should also be accorded high priority.

National accounts: The CBS lacks a comprehensive data collection program, and relies largely on administrative reporting which is not optimal for national accounts compilation. Economic surveys were last conducted in the 1970s and 1980s, and the benchmarks derived from these surveys inform current estimates of value added. The compilation of GDP by activity depends heavily on indirect indicators of growth rates and price indicators that are less appropriate. Informal activities are not covered, and are likely to be significant in areas such as retail trade and construction. Sudan’s national accounts data are based on the System of National Accounts 1968 (SNA 1968), and the base year of the existing GDP constant price series (by activity and by expenditure) is 1981. National accounts statistics are compiled with a lag exceeding three years; and there are no national accounts or industrial production data at sub annual frequencies. On the expenditure side, data are lacking on final consumption by households, investment, and changes in stocks. The adoption of updated statistical guidelines (SNA 2008), rebasing of the national accounts, and developing procedures to improve the timeliness of GDP estimates should be among the core medium-term objectives of Sudan’s national accounts work program. There is an urgent need to increase funding to the CBS and to rebuild its capacity for conducting household, agricultural and enterprise surveys.

Price statistics: Practices in the production of the Consumer Price Index (CPI) are good. Monthly CPI data (base year=2007) are provided shortly after the end of each month. However, the CBS should begin developing plans for a new household expenditure survey to facilitate weight updates to the existing CPI. The CBS is developing for the first time, a quarterly producer price index (PPI) for manufactured goods. STA’s recent multisector statistics mission (April 2012) conducted a preliminary assessment of the methods and procedures for compiling the PPI; and issues regarding the frame and the sample size were raised with the authorities. The mission also advised on how the base year weights would need to be adjusted to reflect the reduced contributions of oil to the Sudan economy.

Government finance statistics: Government finance statistics reported to MCD are broadly adequate for program monitoring, with the main revenue, expenditure, and financing items reported on a monthly basis with a lag of about one month. The reported statistics are for the central government only, and do not include the states and publicly owned corporations. Data are submitted using an economic classification and, while the allocation of resources by MOFNE to the various ministries is reported, their actual expenditures are not. STA’s recent multisector statistics mission (April 2012) noted that there has been no significant progress in implementing GFS classifications at the level of state governments and all other sub-national governments and extra budgetary funds. The responsibility for GFS compilation and dissemination is not assigned to any specific unit within the MOFNE. The mission also found that there are no comprehensive data reconciliations on government claims on and liabilities to the banking system; and the recording of “arrears securities” is not in line with the GFSM guidelines. The compilation of consolidated GFS for the general government with the objective of producing the statement of government operations should be a key priority.

Monetary and financial statistics (MFS): Sudan has received significant technical assistance to improve the collection, compilation, and dissemination of monetary and financial statistics. STA’s recent multisector statistics mission (2012) found that all major recommendations made by the previous MFS mission in 2007 have been implemented. The current coverage of Sudan’s monetary statistics includes the CBOS and 32 commercial banks, which constitute the other depository corporations (ODCs). Due to South Sudan’s secession, the Bank of South Sudan (BOSS) and the conventional banks operating in South Sudan were excluded from the coverage of the CBOS and the ODCs, respectively, beginning with July 2011 data. The revised monthly statistical return has been used by all commercial banks to report data for compiling monetary statistics. However, stronger efforts are needed to improve the consistency in reporting of interbank data and the timeliness of data reporting and dissemination. The STA 2012 mission also identified areas for further improvement. Going forward, the CBOS should also develop a work program for collecting and compiling data on insurance corporations and pension funds for inclusion in Sudan’s monetary statistics.

External sector statistics: Daily exchange rate data are posted on the CBOS’ web page with minimal lags. There are several areas for improvement in the external accounts, particularly with regard to direct investment (DI), remittances, goods and services, capital transfers and oil statistics. The lack of survey data continues to affect the compilation of important balance of payments and IIP items such as direct investment. The BOS’s foreign exchange balances include reserves earmarked for particular purposes such as medicine, oil, and spare part imports, but the composition of these reserves and their potential usability in the event of a balance of payment need is not clear There is a need for clarification on items that qualify as reserves assets in general, and those earmarked reserves in particular. Compilation of the data template on international reserves and foreign currency liquidity should be initiated. Medium-term oil production projections and data on amortization of private sector debt need substantial improvement. The authorities have made some progress in improving oil projections, but appear reluctant to provide more detailed information on the phasing-in and expected production levels of new blocks and on amortization of debt in the oil sector. STA’s recent multisector statistics mission assisted the CBOS in improving the compilation of a number of balance of payments and IIP items, including in particular, the calculation of reserve asset positions that were incorrectly recorded with a negative sign for some months in 2011. The mission also advised on the treatment of external debt arrears in the balance of payments and the IIP, and recommended steps for initiating the collection of data on capital transfers. METAC is providing ongoing support in the implementation of the DI survey.

Data Standards and Quality

Sudan participates in the General Data Dissemination System (GDDS) since August 2003. GDDS metadata and plans for improvement need to be updated. No data ROSC is available.

Reporting to STA

Annual data reported for the Government Finance Statistics Yearbook cover only budgetary central government up to 1999. No monthly and quarterly fiscal data are reported for the International Financial Statistics (IFS). The reporting of external trade statistics for inclusion in the Direction of Trade Statistics (DOTS) database is done with significant lags. National accounts data are not provided for publication in the IFS. The CBOS has compiled and reported to STA for publication in the IFS, the Standardized Report Forms (SRFs) 1SR for the central bank and 2SR for ODCs. However, timeliness of data reporting and dissemination should be improved. The CBOS also reports to STA, quarterly balance of payments and annual IIP data. As a follow up the STA’s recent multisector statistics mission, the authorities should submit updated GDDS metadata for dissemination on the Dissemination Standards Bulletin Board.

Sudan: Table of Common Indicators Required for Surveillance

(As of August, 2012)

¹Includes reserve assets pledged or otherwise encumbered as well as net derivative positions.

²Both market-based and officially determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.

³Foreign, domestic bank, and domestic nonbank financing.

⁴The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.

⁵Including currency and maturity composition.

⁶Includes external gross financial asset and liability positions vis-à-vis nonresidents.

⁷Daily (D); Weekly (W); Monthly (M); Monthly/Weekly (M/W); Bi-monthly (B); Quarterly (Q); Annually (A); Irregular (I); Not Available (NA).

Sudan: Table of Common Indicators Required for Surveillance

(As of August, 2012)

	Date of latest observation	Date received	Frequency of Data7	Frequency of Reporting7	Frequency of publication7
Exchange Rates	8/28/2012	8/28/2012	D	D	D
International Reserve Assets and Reserve Liabilities of the Monetary Authorities1	June 2012	7/19/2012	M	M	M
Reserve/Base Money	June 2012	7/19/2012	M	W	M/W
Broad Money	June 2012	7/19/2012	W	W	M/W
Central Bank Balance Sheet	June 2012	7/19/2012	M	M	M
Consolidated Balance Sheet of the Banking System	June 2012	7/19/2012	M	M	M
Interest Rates2	12/31/05	1/09/06	W	M	M/W
Consumer Price Index	July 2012	8/8/2012	M	M	M
Revenue, Expenditure, Balance and Composition of Financing3– General Government4	2012:Q2	August 2012	M	M	M
Stocks of Central Government and Central Government-Guaranteed Debt5	2012:Q1	May 2012	A	A	A
External Current Account Balance	2012:Q1	May 2012	Q	Q	Q
Exports and Imports of Goods and Services	2012:Q1	May 2012	M	M	M
GDP/GNP	2011	May 2012	A	A	A
Gross External Debt	2012:Q1	May 2012	A	A	A
International Investment Position 6	2011	June 2012	A	A	A

¹Includes reserve assets pledged or otherwise encumbered as well as net derivative positions.

²Both market-based and officially determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.

³Foreign, domestic bank, and domestic nonbank financing.

⁴The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.

⁵Including currency and maturity composition.

⁶Includes external gross financial asset and liability positions vis-à-vis nonresidents.

⁷Daily (D); Weekly (W); Monthly (M); Monthly/Weekly (M/W); Bi-monthly (B); Quarterly (Q); Annually (A); Irregular (I); Not Available (NA).

View Table

Sudan: Table of Common Indicators Required for Surveillance

(As of August, 2012)

	Date of latest observation	Date received	Frequency of Data7	Frequency of Reporting7	Frequency of publication7
Exchange Rates	8/28/2012	8/28/2012	D	D	D
International Reserve Assets and Reserve Liabilities of the Monetary Authorities1	June 2012	7/19/2012	M	M	M
Reserve/Base Money	June 2012	7/19/2012	M	W	M/W
Broad Money	June 2012	7/19/2012	W	W	M/W
Central Bank Balance Sheet	June 2012	7/19/2012	M	M	M
Consolidated Balance Sheet of the Banking System	June 2012	7/19/2012	M	M	M
Interest Rates2	12/31/05	1/09/06	W	M	M/W
Consumer Price Index	July 2012	8/8/2012	M	M	M
Revenue, Expenditure, Balance and Composition of Financing3– General Government4	2012:Q2	August 2012	M	M	M
Stocks of Central Government and Central Government-Guaranteed Debt5	2012:Q1	May 2012	A	A	A
External Current Account Balance	2012:Q1	May 2012	Q	Q	Q
Exports and Imports of Goods and Services	2012:Q1	May 2012	M	M	M
GDP/GNP	2011	May 2012	A	A	A
Gross External Debt	2012:Q1	May 2012	A	A	A
International Investment Position 6	2011	June 2012	A	A	A

¹Includes reserve assets pledged or otherwise encumbered as well as net derivative positions.

²Both market-based and officially determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.

³Foreign, domestic bank, and domestic nonbank financing.

⁴The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.

⁵Including currency and maturity composition.

⁶Includes external gross financial asset and liability positions vis-à-vis nonresidents.

⁷Daily (D); Weekly (W); Monthly (M); Monthly/Weekly (M/W); Bi-monthly (B); Quarterly (Q); Annually (A); Irregular (I); Not Available (NA).