Sudan Banking Sector Reform Paper

Dear Colleagues, I am pleased to share with you the summary of our paper on Banking Sector Reform in Sudan. The study highlights how decades of political interference, weak governance, and misuse of financial institutions have undermined the sector, leaving banks unable to meet international standards of capital adequacy and liquidity. Key issues identified include loyalty-based appointments, accumulation of bad debts, manipulated privatization of banks and assets, loss of transparency, and isolation from global finance. The paper proposes reforms such as: • Independent investigation into banking corruption since 1989. • Review and reversal of unfair sales of banks and assets. • Restructuring of state-owned and private banks to meet Basel Accord standards. • Establishment of an independent regulatory authority. • Introduction of a dual Islamic/conventional financing system. • Encouragement of savings and personal sector financing. • Development of secondary markets for liquidity. • Allowing banks to invest in pensions and long-term funds. • Modernization of banking infrastructure with new technology. These reforms are essential to restore public trust, stabilize the economy, and reconnect Sudan with international financial systems. The paper emphasizes that structural, administrative, and legal reforms will ensure banks serve as engines of growth rather than tools of exploitation. Best regards, Hafiz Mohamed Allow Copilot to send email via Outlook? Enable OutlookSend …read more