Identifier
Created
Classification
Origin
07KHARTOUM319
2007-03-01 10:58:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Khartoum
Cable title:
INFLATION RATE EXPECTED TO INCREASE
VZCZCXYZ0007 OO RUEHWEB DE RUEHKH #0319 0601058 ZNR UUUUU ZZH O 011058Z MAR 07 FM AMEMBASSY KHARTOUM TO RUEHC/SECSTATE WASHDC IMMEDIATE 6320 INFO RUCNDT/USMISSION USUN NEW YORK PRIORITY 0085 RUEAIIA/CIA WASHINGTON DC//DDI/OEA// PRIORITY RHEHNSC/NSC WASHDC PRIORITY
UNCLAS KHARTOUM 000319
SIPDIS
SENSITIVE
SIPDIS
DEPARTMENT FOR AF/SPG AND EEB
PLEASE PASS TO USAID FOR AFR
E.O. 12958: N/A
TAGS: AFIN EAID EFIN PREL SU
SUBJECT: INFLATION RATE EXPECTED TO INCREASE
UNCLAS KHARTOUM 000319
SIPDIS
SENSITIVE
SIPDIS
DEPARTMENT FOR AF/SPG AND EEB
PLEASE PASS TO USAID FOR AFR
E.O. 12958: N/A
TAGS: AFIN EAID EFIN PREL SU
SUBJECT: INFLATION RATE EXPECTED TO INCREASE
1. (SBU) An IMF team visiting Sudan the week of February 26
concluded that the inflation rate is likely to increase,
perhaps to as high as 20 percent. In a meeting with Econ
officer, members of the IMF team stated that, while inflation
one year ago was running at about 7 percent, it is now
estimated at 16 percent and could well reach 20 percent. The
IMF attributed the increase in inflation to the government's
expansionary budget.
2. (SBU) The IMF team noted that strong inflows of foreign
direct investment are fueling economic growth in Sudan.
Foreign direct investment in 2006 was estimated to be USD 3.5
billion and is projected to increase to USD 3.8 billion in
2007. The largest single source of foreign investment is
China, with substantial inflows from the Gulf as well.
HUME
SIPDIS
SENSITIVE
SIPDIS
DEPARTMENT FOR AF/SPG AND EEB
PLEASE PASS TO USAID FOR AFR
E.O. 12958: N/A
TAGS: AFIN EAID EFIN PREL SU
SUBJECT: INFLATION RATE EXPECTED TO INCREASE
1. (SBU) An IMF team visiting Sudan the week of February 26
concluded that the inflation rate is likely to increase,
perhaps to as high as 20 percent. In a meeting with Econ
officer, members of the IMF team stated that, while inflation
one year ago was running at about 7 percent, it is now
estimated at 16 percent and could well reach 20 percent. The
IMF attributed the increase in inflation to the government's
expansionary budget.
2. (SBU) The IMF team noted that strong inflows of foreign
direct investment are fueling economic growth in Sudan.
Foreign direct investment in 2006 was estimated to be USD 3.5
billion and is projected to increase to USD 3.8 billion in
2007. The largest single source of foreign investment is
China, with substantial inflows from the Gulf as well.
HUME