Sudan's basic income scheme aims to ease economic pain

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In Sudan, where inflation is at over 340% and shortages abound, 80% of the population will receive a temporary $5 basic monthly income.

For Intisar Altayib, who ekes out a living drawing henna tattoos in Khartoum, soaring prices in Sudan mean running up tabs at local stores and cutting back on evening feasts during the Muslim holy month of Ramadan.

Altayib, who has registered for the welfare program but is yet to receive money, says that in her neighborhood of Al Kalakla, prices are 4 or 5 times higher than a year ago and her family has all but stopped buying meat. , hoping to win relief on at least $50 billion dollars in debt and access funding from international lenders.in February and fuel subsidy cuts over the second half of last year. The IMF said in an October report on the reforms that they could lead to economic contraction, higher inflation, and social tensions in the short term.

"The delay in implementing the program reduces its impact because of the racing inflation in Sudan," said Mohammed al-Jak, a University of Khartoum economics professor. Some beneficiaries told Reuters they would use the money to pay off debts, or cover rent or home maintenance. Intisar, however, said the money wouldn't make a huge dent in daily expenses and would be more useful for her family if she saved it up and started a business.

 

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