Vol 5, No 1 (2017)

Correction of Structural Imbalances Experience of Sudan

Khalafalla Ahmed Mohamed Arabi


This paper investigates the magnitudes of structural imbalance in Sudan economy, measures taken to tackle the problem, and the outcome of those remedies i.e. structural adjustment programs (SAPs). Sudan has been implementing SAPs for four decades none of the objectives has been achieved. Inference statistics has been used to identify the imbalances accompanied by econometric tools i.e. the spline regression, and vector error correction to quantify the effects on economic growth as the ultimate target of SAPs. The main findings are that real effective exchange rate (REER) as a summary index of pricing policy and competitiveness has a negative impact on economic growth contrary to the growth of labor productivity (LPGR). The paper recommends the taking on of alternative programs.

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Growth; Impact; Objectives; SAPs; Structural Imbalances.

Publication information

Volume 5, Issue 1
Year of Publication: 2017
ISSN: 1857 - 8721
Publisher: EDNOTERA

How to cite

Ahmed Mohamed Arabi, K.: Correction of Structural Imbalances Experience of Sudan. Journal of Applied Economics and Business, Vol 5, No. 1, 32-45. (2017)