|
|
|||||||||||||||||||||
|
||||||||||||||||||||||
Evolution of currency circulation in SudanThe use of currency is considered one of the brilliant and splendid innovations of mankind in the vital dealings which serve his requirements and needs in practicing his day to day life. He developed and promoted its use to suit every era and time. In addition to its importance, it constitutes a reference which reflects the features of its time and period. The Sudan, as other countries, knew the currency at an earlier period and it replaced the barter system which was in use even after the Egyptian Turkish rule in 1821 AD. Different bank notes in different denominations were issued during Gordon era and Al-Mahdi issued three types of coins through the Goldsmith. Al-Khalifa established the first Sudanese currency mint in Omdurman. Item (9), Article (14) of the Comprehensive Peace Agreement (CPA) with regard to currency change stipulated that the Central Bank of Sudan shall adopt a program for issuing a new currency during the transitional period provided that the new currency shall reflect the following basic guidelines:
The design shall avoid the following:
The political and economic factors are to be considered the most important factors for currency change. The process of currency change is an economically and procedurally costly and countries do not resort to it, except under exceptional circumstances. From the economic angle, the currency is changed for economic and monetary reform motives. The Central Bank uses this instrument to generally assess the volume of currency in circulation in the economy and estimate the demand for money as well as for stimulating the economic activity and activating the payment system. In addition to what is mentioned above, the following are among the reasons for currency change:
|
||||||||||||||||||||||