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General Features of the Sudanese Economy
Sudan is the largest country in Africa, with an area of 2.5 million sq. km. Over 50 % of its total area constitute agricultural land; thus, the country is very rich in agricultural resources. The total population was estimated to be about 26 million in 1995, giving a geographic population density of 10 personper sq. km. The population of Sudan grows at an annual rate of 2.9%. Over three-quarters of the population are concentrated in the north of Sudan, mostly in the rural areas.

In 1996, the value of GIDP in Sudan amounted to 10.2 billion Sudanese Pounds and registered an annual rate of growth of 4.7%.

Typical to most developing countries, Sudan is basically dependent upon agriculture. Accordingly, the agricultural sector employs the bulk of the labor force. In 1996, agriculture contributed about 45% of the GDR The structure of the agricultural sector is mainly composed of the following subsectors: agricultural crops (51%), livestock (38%) and forestry (10%). Agriculture in Sudan is also subdivided into irrigated and rain-fed production as well as modern and traditional systems.

The contribution of industry to economic activity is very insignificant, only about 13% of the GIDP on average and employs less than 10% of the labor force. The industrial sector in Sudan is essentially composed of light consumer goods industries. Its structure is mainly formed of the following: manufacturing and handicrafts (50%), building and construction (30%), electricity and water (15%) and mining (5%).

The contribution of services to the GDP in the Sudan amounts to about 40% on average. The services sector includes the following major sub-sectors: Commerce, restaurants and hotels, finance and insurance, real estate and business services, transport and communication and government services.

The bulk of Sudanese exports (90%) originate from the agricultural sector. The major export commodities include cotton, Gum Arabic, oil seeds and livestock. The bulk of Sudan's exports are directed towards the European Union and the Arab countries.

The economic system in Sudan is moving towards the free market model. This is a consequence of the Government's policies of deregulation and privatisation.

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