Economy

15 Dec 2012

Economy

Economic Downturn Dampens Darfur Trade, Pushes Prices Higher 

While small signs of economic recovery may be emerging across Darfur, those living in camps or in the villages and cities across the region have been struggling against rising prices and a higher cost of living.

 

BY SHARON LUKUNKA

 

The recent economic downturn in Sudan, which has taken its toll on businesses in Darfur, has resulted in rising prices that have broadly affected traders and consumers in the region. The formation of South Sudan more than one year ago and the ensuing disputes over oil rights have deeply affected the economies on both sides of the border, leading to inflation, austerity measures and protests. Exacerbating the downturn’s impact in Darfur are several other factors, including the general security situation, less than bountiful harvests and the longstanding dispute between nomads and pastoralists.

 

Food security has been a critical issue in North Darfur and in the northern parts of South Darfur, where the harvests have resulted in poor yields. A recent report from USAID indicates that Darfur’s 1.7 million internally displaced persons (IDPs) currently face high levels of food insecurity, while about 1.2 million people in the drought-affected areas of North Darfur face crisis levels of food insecurity.

 

Rising costs, which have cut across all businesses in Darfur, have affected higher institutions in the region too. Recently, university students staged demonstrations in Darfur to express their concern over tuition fees and an increase in their cost of living. While the downturn is affecting businesses and institutions alike, the effect on the economy of Darfur is perhaps most palpable by visiting local markets.

 

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Read the full story in the November issue of Voices of Darfur. Download the magazine (PDF) here.