The Investment Climate Statement Chapter of the CCG is provided by the State Department. Any questions on the ICS can be directed to EB-ICS-DL@state.gov.
The U.S. Department of State Investment Climate Statements provide information on the
The U.S. Department of State’s Investment Climate Statements provide information on the business climates of more than 170 economies and are prepared by economic officers stationed in embassies and posts around the world. They analyze a variety of economies that are or could be markets for U.S. businesses. The Investment Climate Statements are also references for working with partner governments to create enabling business environments that are not only economically sound, but address issues of labor, human rights, responsible business conduct, and steps taken to combat corruption. The reports cover topics including Openness to Investment, Legal and Regulatory Systems, Protection of Real and Intellectual Property Rights, Financial Sector, State-Owned Enterprises, Responsible Business Conduct, and Corruption.
To access the ICS, visit the U.S. Department of State Investment Climate Statement website.
Following the end of the 30-year regime of Omar Bashir in 2019, Sudan’s military and a coalition of civilian opposition groups agreed to a three-year power-sharing agreement under the Civilian-Led Transitional Government (CLTG) that was to culminate with a popularly elected government in 2022. The clock on that agreement was reset to 2024 with the integration of former armed opposition groups into the CLTG following the signing of the Juba Peace Agreement on October 3, 2020. The transition ended abruptly on October 25, 2021, when the country’s military, led by General Abdul Fattah al-Burhan, seized power and ousted the CLTG, including Prime Minister Abdalla Hamdok. The military takeover precipitated a political crisis that continues into 2022. Sudanese citizens, angered and frustrated by the military’s seizure of power, initiated a series of regular nationwide protests demanding a return to civilian rule. In January 2022, the United Nations Integrated Transition Assistance Mission in Sudan (UNITAMS) launched a mediation effort aimed at bringing together a broad range of civilian actors to begin negotiations on a political solution to restore Sudan’s democratic transition; the African Union and Intergovernmental Authority on Development later joined that effort.
During its two-year administration, the CLTG initiated a series of political, economic, and legal reforms. In cooperation with the International Monetary Fund (IMF), the government pursued a program that reduced or eliminated several costly subsidy programs, improved fiscal discipline and public financial management, adopted currency and tariff reforms, and launched a revision of its commercial laws. The international community, under U.S. government leadership, took actions to dramatically reduce Sudan’s outstanding $56 billion international debt by paying off debt arrears owed to International Financial Institutions and organizing debt relief among creditors nations. A popularly supported “Dismantling Committee,” in concert with the Ministry of Justice, was intended to root out corruption, identify and seize illegally obtained assets, and return much of the national wealth that was spirited out of the country by Bashir-era cronies.
The October 25 military takeover stalled most CLTG reform efforts and threatens to reverse the gains of the previous two years. Sudan’s current military leadership dismissed most of the civilian ministers, including the Prime Minister, appointing in their place “caretaker” ministers absent legal authority to do so. The international community has imposed significant costs on Sudan’s military regime for its actions. The United States has paused all non-humanitarian assistance to Sudan, and much assistance from bilateral donors and International Financial Institutions also remain paused. The United States government has been clear that the only path to restoring financial assistance is predicated on restoring Sudan’s democratic transition. The ongoing political turmoil has produced economic uncertainty, a depreciating national currency, price increases, and shortages of grain, fuel, medicine, and other imported commodities.
The sectors of greatest interest to foreign investors remain mineral extraction (primarily gold, non-precious metals, oil, and natural gas) and agriculture. Sudan’s infrastructure is in significant need of modernization and expansion. Many American companies have inquired about investment opportunities and visited Sudan with an expressed interest in direct investment and promotion of U.S. products. The Sudanese have expressed a robust interest in obtaining U.S. goods, services, technologies, and training/capacity building programs. However, a lack of domestic investment capital, poor infrastructure, burdensome bureaucracy, endemic corruption, and low household incomes create challenges for any company considering the Sudanese market.