Sudan Projects 9% Growth Despite War Damage And Power Crisis

Khartoum, August 6, 2026 - Sudan's Finance Ministry projected gross domestic product growth of 9% this year as inflation slows, offering an optimistic outlook for an economy still heavily constrained by the war between the army and the Rapid Support Forces. Finance Minister Gibril Ibrahim's projection contrasts with United Nations estimates that annual growth would not exceed 1.2% through 2043 after a 12% contraction in 2023.

The Ministry of Culture and Information said growth is expected to accelerate from 1.7% last year, supported by efforts to expand the tax base without raising rates. Inflation slowed to 51.28% in July, though the decline comes amid severely weakened purchasing power, currency depreciation and high living costs.

The government continues to operate under an emergency budget as revenues remain constrained and military expenditure rises. Ministers also reviewed widespread power outages caused by a transformer fire at the Merowe Dam, which disrupted electricity in Khartoum, River Nile, Northern and Red Sea states.

Energy officials said imported spare parts had arrived and thermal generation was being increased to cover shortfalls. Sudan's power sector has sustained nearly $3 billion in wartime infrastructure damage, forcing households and businesses to rely increasingly on costly solar systems.

The cabinet also reviewed draft laws on cybersecurity, data protection, artificial intelligence and digital transformation before further consideration by the Sovereign Council and Cabinet acting as a temporary parliament.