Western Union has suspended international money transfer services in Sudan’s capital Khartoum and other areas of the country impacted by the conflict that threatens to spiral into a civil war.
The move further isolates millions of Sudanese from the international community. Thousands have fled the country since the conflict broke out in mid-April, but many will have challenges accessing their money abroad. Received remittances made up 3.3% of the country’s gross domestic product (GDP) in 2021, according to the World Bank, the latest data available.
The power struggle between the Sudanese military and the influential paramilitary group the Rapid Support Forces (RSF) turned violent on April 15, with the capital Khartoum being the centre of the fighting. Although the two warring parties agreed on a three-day truce on Tuesday, there is fear that the fighting could escalate.
More than 420 people, including at least 291 civilians, have been killed and over 3,700 have been injured in the fighting, according to the Associated Press. Foreign embassies have closed and are evacuating their nationals since the violence erupted. The conflict has derailed an internationally-backed plan for a transition to civilian rule after the 2019 ousting of long-time dictator Omar al Bashir, who ruled the country for nearly three decades.
A Western Union spokesman said Tuesday that the international money transfer platform had halted some operations in Sudan.
“Due to the recent developments in Sudan, Western Union international money transfer services in Khartoum and other impacted areas are closed until further notice,” the spokesperson told Al-Monitor.
“This is because our Agents are unable to operate safely and securely. Some locations in remote areas are still open and supporting customers where it is safe to do so.
“We understand the impact the closure is having on our customers and will follow up as soon as we are able to fully reactivate our services.”
Khartoum metropolitan area has a population of around 6.3 million people, according to the latest UN data. On Monday the US warned of shortages of food, water and vital medicines in Sudan and deployed disaster response experts to the region. Efforts to evacuate foreign citizens and staff intensified as Western countries including the US, Canada, Britain, Germany, France and the Netherlands flew hundreds of people out of the country.
Western Union had to suspend services in Sudan in October 2021 due to a military coup, when General Abdel Fattah Al-Burhan took control of the government. It resumed operation in the country a week later on November 2. Burhan is leading the Sudanese military that have been fighting RSF, run by Gen. Mohamed Hamdan Dagalo, this month.
David Shinn, non-resident scholar at the Middle East Institute, told Al-Monitor: “The situation now is more difficult than it was in 2021 and the suspension will likely last longer. This will clearly pose hardships for Sudanese who wish to transfer funds, but they will understand the reasons for it because so much commercial activity in Khartoum has been suspended.
“I don’t know if other financial services have suspended operations, but I assume they have because it is not safe to move around the city,” he added.
On Monday Moody’s Investors Services said that the conflict poses a credit risk to neighboring states and multilateral development banks with high loan exposure to the African country.
Meanwhile, the World Health Organization warned Tuesday that there was a “high risk of biological hazard” in Khartoum after one of the warring parties seized a laboratory holding pathogens. The UN body’s Sudan represenative Nima Saeed Abid told reporters on a video call that technicians could not access to the National Public Health Laboratory to secure the harmful materials, which include measles and cholera pathogens.
Business and policy professionals use PRO to monitor the regional economy and improve their reports, memos and presentations. Try it for free and cancel anytime.
Already a Member? Sign in
Join over 50,000 readers who access our journalists dedicated newsletters, covering the top political, security, business and tech issues across the region each week.
Delivered straight to your inbox.
Free newsletters available:
- The Takeaway & Week in Review
- Middle East Minute (AM)
- Daily Briefing (PM)
- Business & Tech Briefing
- Security Briefing
- Gulf Briefing
- Israel Briefing
- Palestine Briefing
- Turkey Briefing
- Iraq Briefing
Join the Middle East’s most notable experts for premium memos, trend reports, live video Q&A, and intimate in-person events, each detailing exclusive insights on business and geopolitical trends shaping the region.
Memos – premium analytical writing: actionable insights on markets and geopolitics.
Live Video Q&A – Hear from our top journalists and regional experts.
Special Events – Intimate in-person events with business & political VIPs.
Trend Reports – Deep dive analysis on market updates.
Text Alerts – Be the first to get breaking news, exclusives, and PRO content.
All premium Industry Newsletters – Monitor the Middle East’s most important industries. Prioritize your target industries for weekly review:
We also offer team plans. Please send an email to pro.support@al-monitor.com and we’ll onboard your team.
Already a Member? Sign in
Middle East venture, M&A and economics in your inbox
Join the Middle East’s top business and policy professionals to access exclusive PRO insights today.
Follow Al-Monitor
© 2023 Al-Monitor, LLC. All rights reserved.
Follow Al-Monitor