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From: Biniam Tekle (biniamt@dehai.org)
Date: Tue Jul 12 2011 - 22:55:47 EDT
http://www.bbc.co.uk/news/world-africa-1412435312 July 2011 Last
updated at 11:09
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Sudan's President Bashir announces austerity budget
Sudan's President Omar al-Bashir has announced that he will introduce
economic austerity measures following South Sudan's secession.
Most of Sudan's oil lay in the south and the two countries have not agreed
how to divide future oil revenues.
The president told MPs that a three-year "emergency programme" would include
issuing a new currency.
He also promised a more open society where people would be free to express
political views without fear of arrest.
Continue reading the main
story<http://www.bbc.co.uk/news/world-africa-14124353#story_continues_2>“Start
Quote [image: President Omar al-Bashir addressing parliament on 12 July
2011]
Our relations with the newly born state of South Sudan will be based on
respect of covenants and serious commitment to consolidate stability”
Omar al-BashirSudan's president
- What next for Sudan? <http://www.bbc.co.uk/news/world-africa-14019051>
"Our government is keen not to curb freedom of speech. No-one from today
will be arrested for expressing his political views," the president said in
his speech to parliament in the capital, Khartoum.
Consultations on a new constitution - a key opposition demand - would also
begin soon, he said.
It would be an inclusive process involving opposition politicians, religious
leaders and university professors and the new constitution would be put to a
referendum.
Last December, President Bashir said a new constitution would make Islam the
only religion in Sudan and Sharia the only law.
The BBC's James Copnall in Khartoum says that Mr Bashir's opponents will be
sceptical about the promises of greater political freedom.
But our correspondent says that perhaps President Bashir has decided that
only greater openness and inclusiveness - or at least the impression of it -
will keep his country united through what could be a very tough period.
According to Reuters news agency, Sudan has been hit by a scarcity of
foreign currency and high inflation.
"We have placed an emergency programme for the next three years," Mr Bashir
said in his nationally televised speech.
A new budget with no new taxes is to be put before parliament.
"The package of the economic measures includes issuing a new currency in the
coming days," he said.
'Sensitivity'
South Sudan announced it was launching its own currency and the South Sudan
pound note would be in circulation by next Monday.
The new country's Central Bank Governor Elijah Malok told Reuters it would
take three months to completely replace the northern currency.
[image: Soldiers of Sudan People's Liberation Movement's northern arm drive
through the Nuba mountains of South Kordofan on 29 June 2011]Ex-southern
fighters in South Kordofan and Blue Nile are to join the north's army or
disarmed
The south's independence follows decades of conflict with the north in which
some 1.5 million people died.
The two countries have still to decide on issues such as drawing up the new
border and how to divide Sudan's debts and oil wealth.
At present, the revenues are still shared equally.
Although most oil lies in the south, most of the oil pipelines flow north to
Port Sudan on the Red Sea.
Mr Bashir said his government would work with the south "towards resolving
all remaining and pending issues despite their sensitivity".
"I reaffirm in front of you what I declared in Juba, that our relations with
the newly born state of South Sudan will be based on respect of covenants
and serious commitment to consolidate stability and establish a unique and
positive neighbourly relationship," he told MPs.
On Monday, the president told the BBC the disputed border region of Abyei
was a source of potential conflict with South Sudan.
Fighting in Abyei and another border region, South Kordofan, forced some
170,000 people to flee their homes in the run-up to southern independence.
It has been agreed that 4,200 Ethiopian troops will be deployed to keep the
peace in Abyei after a previous deal to make it a demilitarised zone.
Abyei is claimed by both sides, while the fighting in South Kordofan pits
northern forces against mostly ethnic Nubans who fought for the southern
rebels during the civil war but now find themselves in the north.
Mr Bashir told parliament that the government intended to restore order in
South Kordofan and Blue Nile - northern states where UN peacekeepers have
been told to leave, but promised more dialogue.
"I hereby assure the sons of Southern Kordofan and Blue Nile regions that we
are committed to expand a just political participation for them and enable
them to manage their affairs."
An African Union-mediated deal signed before the south's secession agreed
that the former southern fighters in South Kordofan and Blue Nile would
either be integrated into the northern army or disarmed.
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