Executive Summary

Sudan is situated in North East Africa. It is the largest country in Africa and the region of the Middle-East. It shares common borders with nine countries - Egypt and Libya in the North, Chad and Central African Republic in the West, Democratic Republic of Congo, Uganda and Kenya in the South, Ethiopia and Eritrea in the East. It also neighbors the Kingdom of Saudi Arabia across the Red Sea. With an area of one million square miles, Sudan is among the ten largest countries in the world.

Sudan is a country with great potentialities whether in form of the extensive uncultivated farmland or the plentiful water resources, differing climatic zones; its huge animal wealth and limitless natural pastureland, forests or the mineral wealth, particularly its large oil reserves, which have not been fully exploited yet. The diversities in wealth are an added advantage.

In recent years the economic situation has improved with new flows of revenue from oil exports, and agriculture helped by favorable weather. But a lasting and sustained peace is a pre-condition of continued improvement.

The 1990s saw the strongest economic growth in Sudan since independence in 1956. Sudan began implementing IMF macroeconomic reforms that have successfully stabilized inflation. Oil has emerged as the major source of economic growth and revenue for Sudan since 1999. In summer 2003 oil production stands at 264,000 barrels per day. Agriculture production remains an important sector and expanded at the rate of 8.5% per annum during the last decade.