The Monopoly of Economic Resources in Sudan (An Obstacle to Development

The Monopoly of Economic Resources in Sudan (An Obstacle to Development; a Violation and Deprivation of Citizens’ Rights – The Cases of Zadna projects and Gold Mining are examples )

Dr. Abdelmoneim Abdelmahmoud Al-Arabi

Introduction:

This is a commentary on the article “The Sudanese Gold: Between Development Opportunities and the Risks of the Parallel Economy” by Mr. Abdelazim Al-Riah Mudathir, published on Sudanile on 16/9/2025.

Sudan faces serious economic challenges, the most important of which is the control of its most vital sectors by a limited number of powerful, known entities. These are private companies belonging to influential individuals, military institutions, or ideological organisations. They monopolise the country’s resources from agriculture, livestock, and—most importantly today—mining, “especially gold”. This hegemony not only undermines the national economy but also deprives citizens and production areas of the returns from their natural wealth and their right to sustainable development (infrastructure, health, education, transportation, water, electricity, and socio-economic security). A welfare society thus remains a dream, as the Sudanese saying goes, “The dream of the hungry is bread.”

Manifestations of Monopoly and its Devastating Effects:
“Dominance over Strategic Sectors”

The ruling elites and powerful entities in the ruling class control the most vital economic sectors in Sudan, monopolising large agricultural projects, livestock rearing, and mineral wealth. This prevents the participation of an independent private sector and organised foreign investment that serves the overall national interest. In my opinion, ideal private investment should consist of companies based on shares that attract engagement from every citizen, regardless of their income, thus allowing them to benefit from investment returns. Companies owned solely by wealthy individuals, government institutions, and private entities (“partisan or otherwise”) are the primary cause of the marginalisation occurring in the country, leading to economic, political, and social division, and ultimately to conflicts, the worst of which are wars.

In Sudan, citizens in areas that produce natural wealth suffer from clear marginalisation. Their resources are depleted without the expected benefits returning to them—”the gold of Western Sudan and the gold of the Nile River Province.” In this regard, the city of Berber and its county, despite being one of the most important areas in Sudan for gold mining, suffer from poverty, marginalisation, and neglect in development, education, health, and infrastructure. This drain of vital cash-flow resources widens the developmental gap between the capital, rich cities, and the peripheries.

As Mr. Abdelazim mentioned, this monopoly deprives the public treasury of significant revenues that would have contributed to financing essential services like health, education, and infrastructure. It also exacerbates unemployment and poverty among citizens. This is the reality today, in which most Sudanese citizens are poor. The overall impact is the impoverishment of citizens, the weakening of the state, and the creation of armed factions that undermine the stability of the entire country.

Suitable Alternatives for Reform:

The most important starting point is to stop the current ongoing violence and war, along with all related political disputes among the people and the military. Rational resource management cannot be achieved in a climate of chaos, a lack of national security, and the absence of reformed and deterrent laws.

· Transparency and Good Governance:
· Enact radical laws ensuring transparency to regulate the process of granting licenses and contracts in vital economic sectors.
· Establish independent regulatory bodies to oversee the management of natural resources and their revenues.
· Implement international accounting standards in all commercial and investment transactions.
· Empowering the Local Economy and Small Projects:
· Support small and medium enterprises in the sectors of agriculture, livestock, and artisanal mining.
· Direct a portion of natural resource revenues to fund developmental projects in production areas.
· Establish a special fund for the development of marginalised areas, financed from the revenues of their natural resources.
· Reform of Legislation and Laws:
· Review laws regulating investment in vital sectors to ensure fair distribution of opportunities.
· Establish clear mechanisms for holding those involved in exploiting influence to monopolise resources accountable.
· Strengthen the role of the judiciary (where it exists) in resolving economic disputes and protecting the rights of small investors.
· Encouraging Foreign Direct Investment:
· Attract foreign direct investment in vital economic sectors under conditions that preserve the rights of the state and its citizens.
· Facilitate the transfer of technology and involve international expertise to enhance the efficiency of productive sectors.
· Diversify economic partners to avoid falling into new monopoly networks.

Conclusion:

Ending the monopoly of economic resources in Sudan is not merely an option, but an urgent necessity for achieving stability and sustainable development. This requires genuine political will, a radical reform of the economic governance system, and the true empowerment of citizens and production areas over their wealth. This would ensure fair distribution and achieve balanced development for all of Sudan.

I conclude with this quote from Mr. Abdelazim’s article: “Researcher Paul Collier says in his book ‘The Plundered Planet’ (2010): Natural resources, when not managed transparently, become a curse because they fuel corruption and create a parallel economy that eats away at the body of the state.”

I had expected Mr. Abdelazim, “a related and citizen of the region,” to raise the issue of the plundered gold of Berber and its areas, as well as the “Zad One” agricultural project, and to question why, despite these projects, the citizens of the region remain suffering from poverty and are deprived of their right to sustainable development.

Note: Some of the solutions and proposals above have been presented in previous related articles.
Copyright drabdelmoneim.alarabi
20/09/2025

aa76@me.com

عن د. عبدالمنعم عبدالمحمود العربي

د. عبدالمنعم عبدالمحمود العربي

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