Recent Developments in Sudan’s Fuel Subsidy Reform Process (GSI)

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In September 2013 Sudan introduced the third and most dramatic in a series of fuel subsidy cuts, raising prices of petrol, diesel and liquefied petroleum gas (LPG) by 65 to 75 per cent each. This came in a context of high economic pressure, following the loss of oil revenue from South Sudan after July 2011. This report by the Global Subsidies Initiative (GSI) analyzes the political context of the subsidy cut, the government’s communications strategy and the compensatory measures put in place. It concludes that while further reforms are likely to be necessary, they are unlikely due to resistance from the public, the media and even from parts of the ruling party.