Sudan Reengagement and Reform Development Policy Financing

closed

Closed

The development objective of Reengagement and Reform Development Policy Financing (DPF) Project for Sudan is to facilitate Sudan's re-engagement with the World Bank Group and support the country's economic reform agenda through policies that support: (i) correcting macroeconomic imbalances- exchange rate liberalization and phasing out fuel subsidies; (ii) strengthening social protection and financial inclusion - implementing the Sudan Family Support Program (SFSP); and (iii) improving transparency and accountability of the public sector, standards for publication of the budget and budget execution reports. The DPF is closely aligned with Sudan’s current priorities, the IMF Staff Monitored Program (SMP), and other active World Bank projects. Exchange rate liberalization is central to the IMF SMP that puts Sudan on a path for macroeconomic stabilization and Heavily Indebted Poor Country (HIPC) debt relief. The transitional government has acknowledged from the outset the imperative of fuel subsidy reduction and removal for macroeconomic stabilization and freeing up much needed public resources. The government of Sudan (GoS) has prioritized the Sudan Family Support Program not only as a strong instrument for mitigating the social impact of needed economic reforms, but as a vehicle for developing a mobile payment system with lasting implications for financial inclusion and the effectiveness of social policy. Improving transparency and accountability is another strong area of cooperation between the World Bank and Sudan, with on-going to inform a strategy for more accountable and transparent government. The four prior actions of this operation can be divided into three pillars: (1) addressing macroeconomic imbalances; (2) strengthening social protection and financial inclusion; and (3) improving transparency and accountability for government.

World Bank Group

Project

Oil and Gas, Government