Sudan has been experiencing an economic upturn, characterised by growth and relatively low inflation. The Sudanese economy grew by a rate of 7% in 2008, but dropped to about 5% growth in 2009, reflecting the impact of the global financial crisis, according to African Economic Outlook 2010. The exploitation of oil reserves and peace were the main engines of this economic success. However, foreign direct investment has also prompted growth as well as a boom in the service sector, especially transportation and communication. Apart from the oil sector, Sudan's economic growth is narrowly based and limited in reach. Sudan has also continued privatisation reforms, despite ongoing problems with bureaucracy and corruption. These reforms have been seen as largely benefiting companies operating in the construction and telecommunications sectors with connections to the NCP. Similarly, according to the Bertelsmann Foundation 2010 privatisation has often been associated with the regime and its supporters.

Nonetheless, despite these reforms, Sudan's economy continues to be hindered by economic mismanagement, political instability and poor infrastructure. Furthermore, several sources, such as the Bertelsmann Foundation 2010, report that corruption in Sudan is rampant. Foreign investment is concentrated in construction and transportation, sectors that are recognised worldwide as being highly corruption-prone. Moreover, large proportions of Sudan's business practices are carried out in an informal and non-uniform way. This, for instance, applies to business inspections which, according to Global Integrity 2006, are carried out by government officials in an uneven way and leave much to the discretion of officials, which may result in higher risks of corrupt practices.

Companies that seek to do business with the Sudanese government should know that doing so often entails bribes and kickbacks. Moreover, government and business elites are strongly interlinked in Sudan. For instance, a January 2009 news article by BBC News reports that relatives of high-level government officials often own companies that do business with the government and provide their relatives in government with kickbacks in exchange for this business. This practice has earned political figures in the northern and southern regions of Sudan the reputation of being corrupt. Companies are generally advised to develop, implement and strengthen integrity systems, and to carry out extensive due diligence before committing funds or when already doing business in Sudan.

According to African Economic Outlook 2010, Sudan's regulatory environment can be characterised by corruption and a lack of transparency in regulatory enforcement of regulations. Sudan encourages foreign investment to spur economic growth and employment. The government created a Ministry of Investment in 2002 in order to attract domestic and foreign investment in various sectors. The ministry has successfully promoted an investment act intended to promote competition, and it has set up one-stop shops for business registration and a trust fund to promote micro-credit for small companies. In addition, exemptions from customs fees and taxes have been provided for certain investment projects, and investors for 'strategic projects' have been eligible for free land grants, as reported by eStandards Forum 2010. Despite these efforts, the business environment in Sudan continues to be characterised by corruption and a lack of transparency in enforcement of regulations. The lack of transparency in Sudan is maintained not only because of the weak administrative setup that allows for poor record keeping and lax budget handling, but also due to the lack of legislation providing public access to government information and the lack of government providing such access.

African Economic Outlook 2010 reports that Sudan performs marginally better with respect to trading across borders and enforcing contracts, but that it performs poorly in dealing with construction permits, access to credit and starting a company. According to the World Bank & IFC Doing Business 2011, starting a business in Sudan, requires companies to go through an average of 10 procedures over 36 days, at a cost of 34% of GNI per capita, which is less time consuming and nearly three times less costly than the regional average cost. The cost and time of registering property and paying taxes are also much lower than the regional average. However, a general weak spot associated with such business operations in Sudan is the high number of procedures that companies are required to go through. The large amount of documents, payments and procedures related to doing business increases the time spent interacting with public officials and inspectors and, thereby, the risks of corruption and demands for facilitation payments. Companies are generally advised to access the website of the Ministry of Investment, which provides information related to investment legislation and opportunities, as well as specific services concerning required documents, licences and permits.

Sudan's legal system is a combination of English common law and Islamic Sharia law. There are separate judicial hierarchies for the two systems. In general, the laws that do not refer to Southern Sudan are based on Sharia law. Tribal courts function in rural areas to resolve disputes over land rights. An independent judiciary that functions free from political influence still does not exist in Sudan, but the Comprehensive Peace Agreement includes international training of the judiciary to start a process towards independence. However, international arbitration is an option for companies operating in Sudan, as the country is a member of the International Centre for the Settlement of Investment Disputes (ICSID). Companies might find it in their interests to include provisions for alternative, international dispute resolution in their contracts. Access the Lexadin World Law Guide for a collection of legislation in Sudan.

Business Corruption

According to the Bertelsmann Foundation 2010, private property rights remain problematic in Sudan. The government influences the judiciary, and the military and civil authorities do not follow due process to protect private property. Moreover, companies should be aware that the judicial system in Sudan is inefficient and prone to corruption and the courts are often subjected to political interference, as reported by the US Department of State 2009. Furthermore, the Heritage Foundation 2011 describes that business activities are hampered by a dysfunctional court system in the country.

Political Corruption

According to the US Department of State 2009, the Sudanese judiciary is corrupt and subservient to the executive, especially in cases where the state is allegedly implicated in crime. The same report states that the court system in Southern Sudan does not function in many areas because of lack of infrastructure, funding, and inefficiency within law enforcement entities.

Freedom House 2010 reports that despite the creation of the National Judicial Service Commission to oversee the appointment, approval, and dismissal of judges, the judicial system continues to be subject to political interference and government pressure. According to the same source, higher courts in Sudan are subject to political control, while special security and military courts do not apply accepted legal standards.

Frequency

The World Bank & IFC: Doing Business 2011:
- It takes an average of 53 procedures and 810 days to enforce a commercial contract at a cost of almost 20% of the claim.

Individual Corruption

Police corruption is reported to be common in all parts of Sudan, according to the US Department of State 2009. Police officers are poorly paid, and many demand bribes in order to supplement their income. Abuse of power and unlawful and arbitrary arrests are not uncommon. For example, the US Department of State 2009 reports that police officers often carry out searches without warrants, in areas with internally displaced people (IDP), in search for brewing of illegal alcohol, and confiscate goods that are unrelated to brewing. It is also reported that police officers extort bribes from illegal alcohol brewers by intimidating them with prison terms. According to the same source, when citizens have attempted to complain about police abuse, they have often faced retaliation, and police officers are usually not held accountable for their misconduct.

Business Corruption

Companies should be aware that the police have a reputation of being corrupt. According to the US Department of State 2009, there are reports of businesspeople being detained without due process for having failed to pay back loans to Sudanese banks. The police in Sudan do not need a warrant to make arrests. Although the Interim National Constitution stipulates that citizens should be informed about the charges when arrested, arrests are frequently made without charges. According to law, the Sudanese authorities have the right to detain individuals for 3 days without charge with the possibility of extending it. In practice, indefinite detentions are frequent.

Political Corruption

According to Global Integrity 2006, law enforcement agencies are poorly protected from political interference, and most appointments within the police tend to be politically or religiously motivated rather than based on professional criteria. Furthermore, the Heritage Foundation 2011 reports that bribery of the police is a concern in Sudan.

Business Corruption

According to Global Integrity 2006, inspections of companies are carried out by authorities in an arbitrary and uneven fashion and may involve bribery. Companies should also be informed of the fact that many public servants who have access to licences, seals, stamps etc. are reportedly willing to sell these at 'negotiated' prices.

Billions of USD was embezzled during the South Sudanese government’s food reserve programme in 2008. According to a 2011 news article by Sudan Tribune, many contractors allegedly forged fake claims to delivering over 10 million bags of maize and dura to all ten Southern States, and subsequently requested payment from the government. Several of the contractors have been compensated or partly compensated at huge expense to the government. This grain fraud is described as ‘the most costly corrupt practice the region had ever witnessed’.

Political Corruption

Both Northern Sudan and Southern Sudan are notorious for siphoning money off the system through phantom infrastructure projects. As illustrated in a 2007 article by the Sudan Tribune, the lack of capacity on behalf the Government of Southern Sudan in combination with a lack of checks and balances makes this corruption and fraud possible. The same source also reports that the World Bank has refused to fund road construction projects because the level of corruption is so severe. In August 2006, Southern Sudanese Minister of Rural Development and Infrastructure James Henry Tadiwewas was suspended on the grounds that he embezzled USD 67,000 allocated for drilling boreholes, as reported by Global Integrity 2006.

In March 2010, the Sudanese Cabinet ordered the investigation of the disappearance of SDG 10 billion from the Ministry of Humanitarian Affairs. The State Minister and the Minister for Humanitarian Affairs were reported to be under investigation. The funds were meant to use for the emergency programme and for humanitarian action, as reported by Sudan Tribune in 2010.

Frequency

The World Bank & IFC: Doing Business 2011:
- To obtain a construction permit, a company must go through 19 administrative steps, which take an average of 271 days at a cost of approximately 192% of income per capita.

Individual Corruption

Citizens in Southern Sudan have complained that their land has been unlawfully sold - some by individuals who were not true owners, some double-sold and some sold without permission, as reported in a 2007 news article by Sudan Tribune. According to the head of the Southern Sudan land commission, Robert Lado, this could be due to corruption.

According to the Bertelsmann Foundation 2010, traditional communal land ownership has not been recognised by the state, and local communities that are located in or near the new oil fields are often being displaced with little regard for their land rights. Moreover, many of the people displaced from their lands during the civil war, are now returning home, only to discover that their lands have been seized by others, including former leaders and soldiers of the Sudan People’s Liberation Army (SPLA).

Political Corruption

According to a 2006 news article by Sudan Today, real estate deals in Khartoum involving high-ranking politicians, such as the First Vice President of Sudan/President of Southern Sudan Salva Kiir Mayardit, are tainted by corruption. Furthermore, land prices and house construction bills are often inflated.

By law, expropriation of property can only occur after 'reasonable' compensation is provided. Nonetheless, as illustrated by the US Department of State 2009, there have been numerous disputes between the government and various churches involving confiscated church property, but no reports of court-ordered property restitution or compensation.

Frequency

The World Bank & IFC: Doing Business 2011:
- It takes an average of 6 procedures over the duration of 9 days to secure rights to property.

- The cost of securing rights to property is 3% of the property value.

- Registering property in Sudan is not as bureaucratic or time-consuming as in other countries in the region.

Business Corruption

According to Global Integrity 2006, companies report that tax collection does not comply with legal procedures. Political connections can reportedly be used to avoid paying the full amount of taxes owed. The same source also reports that business owners sometimes post fictitious profits to avoid high taxes.

Frequency

The World Bank & IFC: Doing Business 2011:
- A medium-sized company operating in Sudan must on average make 42 payments to the tax authorities every year and spend 180 hours preparing, filing, and paying taxes at a total tax rate of approximately 36% of profits.

Business Corruption

According to Global Integrity 2006, enforcement of customs payment is not uniform and companies with political connections are known to be exempt from paying customs.

Frequency

The World Bank & IFC: Doing Business 2011:
- 6 documents are needed to export a standardised shipment of goods, taking an average of 32 days at a cost of USD 2,050 per container.

- 6 documents are needed to import a standardised shipment of goods, taking an average of 46 days at a cost of USD 2,900 per container.

Business Corruption

Companies should know that the bidding process for government contracts is not transparent. According to Global Integrity 2006, contracts seem to be rendered to people with close connections to the government who, in turn, issue inflated invoices. According to a 2009 news article by BBC News, relatives of high-level government officials often own companies that do business with the government and provide their relatives in government with kickbacks in exchange for this business. The need to provide kickbacks accounts for, at least in part, inflated invoices.

Companies are recommended to use a specialised public procurement due diligence tool in order to help mitigate the corruption risks associated with public procurement in Sudan. For more information on public procurement see 'Public Anti-Corruption Initiatives' in the Initiatives section

Political Corruption

Public contracts and loans are known to be given to friends and relatives of government officials without due bidding process. According to Global Integrity 2006, bidding for government contracts, particularly in the oil sector, is still an opaque process, and contracts are awarded to people who are closely connected to the political elite.

Examples of large scale fraud are found in Southern Sudan, where phantom projects in the disguise of public procurement contracts are set up. For instance, as a 2007 article by the Sudan Tribune explains, phantom contracts are reportedly given without public bidding or competition, and the projects are never completed.

The British publisher, Macmillan admitted to having paid bribes to public officials in South Sudan between 2008 and 2009, in order to win a contract, which was part of a USD 45.9 million project to develop the educational system South Sudan. According to a May 2010 news article by The Guardian, Macmillan is now listed on the World Bank’s List of Ineligible Firms & Individuals, and is banned from any of its contracts for the next six years.

For more information on public procurement see 'Public Anti-Corruption Initiatives' in the Initiatives section.

Individual Corruption

According to the National Democratic Institute for International Affairs 2009, public perception in areas that hold large oil resources is that the revenues from local oil production are not put into local development, despite the fact that the Comprehensive Peace Agreement stipulates that 2% of the oil revenues are to be retained and invested locally. Some citizens maintain that the 2% is lost to corruption.

Business Corruption

Companies should be aware that no transparency exists in the bidding process in order to obtain an oil contract. The lack of transparency creates significant coordination problems that hamper, or at least delay, the licensing of new companies to work on oil exploration or production, as reported by African Economic Outlook 2009. Generally, oil contracts are awarded to companies with political connections.

Political Corruption

In accordance with the Comprehensive Peace Agreement, the central government in Khartoum and the Government of Southern Sudan must share the revenues from oil uncovered in Southern Sudan, where the majority of oil is found. However, several sources such as Reuters and Global Witness both in 2009 and 2010 report that large amounts of oil money have been siphoned off in the north from where the oil is sold and little in the way of revenues ever reach Southern Sudan. 

According to a January 2011 news article by CNN, the Sudanese oil industry lacks transparency. The article reveals that there is a discrepancy between the oil revenue figures published by the Sudanese government and the equivalent figures published by the China National Petroleum Corporation (CNPC), the operator of the oil blocks in Sudan. Global Witness 2009 earlier reports that mismatches of this magnitude represent potentially massive sums of money, and could eventually mean that the Khartoum administration may have 'cheated' Southern Sudan out of money. The government has been accused by the public of keeping oil revenues for itself, of being secretive about contracts signed during the conflict and keeping the information on revenues confidential, as reported in a November 2006 article by Sudan Tribune. According to a 2010 article by Global Witness, although a significant amount of time has passed after this issue was first raised and the discrepancy between the oil revenue figures was revealed, still no appropriate reforms have been undertaken to counter the problem. Hence, according to the same source, the continued discrepancies are a cause for grave concern and cast a shadow over the prospects for peace.

• Legislation: Corruption in the form of active and passive bribery is covered by the Sudan Penal Code 2003. In addition, the major forms of corrupt activity, including attempted corruption, extortion, bribing a foreign official, and money laundering are criminalised. Moreover, Sudan signed the United Nations Convention against Corruption (UNCAC) in 2005 and the African Union Convention on Preventing and Combating Corruption in 2008, but has not yet ratified either of them. According to the Heritage Foundation 2011, laws that increase transparency, such as access to public information and financial disclosure of public officials, do not exist in Sudan. In an effort to combat corruption, Southern Sudan's Legislative Assembly passed a long awaited Anti-Corruption Bill in March 2009, thus supplying the legal framework of the Southern Sudan Anti-Corruption Commission (SSACC). As reported in a March 2009 news article by The New Sudan Vision, the law provides for the establishment and governance of an independent commission to prevent and combat corruption at all levels of government and institutions. The law will make it possible for the SSACC to investigate the many corruption complaints it has received over its years in existence. Access the Lexadin World Law Guide for a collection of legislation in Sudan.

• Government Strategies: The federal Government of Sudan does not seem to prioritise anti-corruption measures. There are no sources indicating that anti-corruption policies are being formulated or that institution-building is taking place. The overall national focus is mainly on national security. Southern Sudan has taken the initial steps towards combating corruption with the announcement of a zero-tolerance attitude towards corruption and the passing of an anti-corruption law in 2009. However, as Southern Sudan has only existed for a few years, it is politically inexperienced and its capacity to govern is very frail. Hence, it remains to be seen if Southern Sudan can make any concrete improvement vis-a-vis containing corruption. In December 2009, the Southern Sudan Anti-Corruption Commission (SSACC) launched a five-year Anti-Corruption Strategy and Action Plan 2010-2014, which have been developed through consultation with stakeholders in the government, private sector and civil society. The Anti-Corruption Strategy involves a number of strategic goals, including combating corruption, promoting good governance, investigating and prosecuting corrupt individuals, and promoting cooperation among different stakeholders in fighting corruption. As part of the Anti-Corruption Strategy, the SSACC issued a Declaration of Income, Assets and Liabilities Form to all executive and legislative officials and senior civil servants to disclose their income and assets by the end of February of each year, as reported by The New Sudan Vision in 2010. This initiative is aimed at combating corruption among public officials and bringing them to account, given the rampant corruption among high level officials.

• Anti-Corruption Agency: There is no anti-corruption agency at the federal level in North Sudan. In Southern Sudan, the Southern Sudan Anti-Corruption Commission (SSACC) was created by the Interim Constitution of Southern Sudan and the SSACC Act in 2006, and has a mandate to investigate both public and private corruption in the semi-autonomous region. According to a 2009 news article by Sudan Tribune, the SSACC were to be empowered to investigate and prosecute those suspected of corruption - tasks formerly left to the Ministry of Legal Affairs and Constitutional Development (MOLACD). According to the UNDP Southern Sudan Update October 2009, the SSACC has established offices in six out of ten states, and trained its employees. However, issues such as under-staffing and insufficient funding remain some of the challenges it faces. The SSACC runs education and awareness-raising programmes about corruption, and the SSACC has also been called upon to take part in several national and GoSS level corruption investigation committees. Before 2009, the SSACC did not have any legal mandate to carry out its duties. Such mandate came in March 2009, with the passing of the Anti-Corruption Bill. In July 2009, the SSACC conducted induction training for several investigators from law enforcement agencies. Staff at the SSACC has announced that it will use the legislation to initiate at least 10 new investigations. The SSACC has recently been given a special status beyond other public institutions. Hence, according to a resolution passed in August 2009 by the Council of Ministers, the employees of the SSACC will have their salaries increased above the normal public service increment regulations. In addition, the status of the Chairperson of the SSACC has been upgraded to the status of a minister in the government, as reported by Sudan Tribune in August 2009. In January 2011, the SSACC stated that it has gathered relevant information about suspected government officials who had stolen money, mostly from the oil revenues, and deposited it in foreign banks. However, the head of the SSACC revealed that the Commission lacks power to prosecute suspects. The Commission refers cases to the MOLACD which, will proceed with further action. However, according to a 2011 news article by Sudan Tribune, the latter has been criticised by the public for not prosecuting suspects for many years.

• Auditor General: Sudan has an Auditor General's Chamber which, in law, is protected from political interference. However, according to Global Integrity 2006, it is subject to political interference and suffers from a lack of resources. Appointments are often made based on political criteria. It is further reported that the Auditor General makes reports publicly available, but that the government rarely reacts to the reports' findings. Three high-ranking employees of the Auditor General's Chamber, including the Deputy Auditor General, have been suspended on corruption charges pending investigation in a 2007 corruption case in which USD 85,000 were allegedly siphoned off the finance ministry, as reported by Miraya FM in 2008. In fact, this type of alleged embezzlement is not uncommon in Sudan. For instance, the Auditor General Report 2008 found that USD 2.3 billion was embezzled from government institutions, according to the US Department of State 2009. Nonetheless, at the same time, the Auditor General has emphasised that less public funds were embezzled in 2009 as compared to the previous year, which could be considered as a slight improvement.

• Fiscal, Financial Allocation and Monitoring Commission (FFAMC): The FFAMC was established by the Southern Sudanese government to promote transparency and fairness in relation to the allocation of funds to the states and local governments in Southern Sudan. The FFAMC reports on a quarterly basis to the President and the Southern Sudan Legislative Assembly. Read more about the FFAMC here.

• Ombudsman: The National Commission for Redress of Public Sector Grievances (NCR) is Sudan's equivalent to an Ombudsman. According to Global Integrity 2006, the NCR is poorly protected from political interference in practice. Furthermore, according to the report, the government does not act on the findings of the NCR; in fact, the agency's reports are usually ignored or given superficial attention. The NCR is poorly staffed and underfunded. If the NCR makes reports, they are either outdated or unavailable to the public.

• E-Governance: In general, e-governance in Sudan is not well-developed and federal or local governments and ministries offer very little information online about the country and public services. Companies considering investing in Sudan, however, may find the website of the Ministry of Investment useful. Apart from providing investment information, it also has several online services concerning registration, licences and permits.

• Public Procurement: According to Global Integrity 2006, Sudan drafted and passed a public procurement law in 2006. The law demands that major public procurement projects go through a competitive bidding process. According to the law, companies that violate procurement rules can be barred from participating in future tenders. Unsuccessful bidders may challenge the procurement decision in court. However, the enforcement is very weak. For example, companies with good political connections are in fact not barred from the procurement process despite having broken the procurement law. The public procurement law also covers conflicts of interest for procurement officials. According to Global Integrity 2006, major public procurements are typically advertised in Khartoum daily newspapers, but in most cases not for more than a week due to the cost of advertisement.

• Whistle-Blowing: By law, whistleblowers in Sudan are protected from recrimination when reporting corruption (Criminal Law, Article 57). However, according to Global Integrity 2006, in practice, whistleblowers are not protected from recrimination, particularly if the person implicated in corruption has political connections. Hence, the report assesses whistle-blowing measures in Sudan as 'very weak'. Allegedly, the Southern Sudan Anti-Corruption Commission (SSACC) has an internal reporting mechanism through which citizens can report corruption. However, since the SSACC does not have an official website, it is unknown how complaints are submitted.

• General Comments on the Public Anti-Corruption Initiatives: Sudan's legislation criminalises corruption, but anti-corruption laws are not effectively enforced in reality. Public institutions and both high and low-ranking public officials are criticised for being poorly trained and highly corrupt. South Sudan gained regional autonomy from the North in 2005, and the formal declaration of independence will take place in July 2011, after nearly 99% of South Sudanese voted for separation in the January referendum. South Sudan’s President, Salva Kiir, has announced a ‘zero-tolerance policy’ on corruption in the new nation. Several steps have been taken in combating corruption, such as ordering all of its government officials to declare assets and income annually, and the passing of the Anti-Corruption Bill in 2009. Nevertheless, the institutional setup for countering corruption remains weak, and further measures are needed in order to combat corruption fully.

• Media: The Interim National Constitution ensures freedom of thought, expression and the press, but in reality these rights are not upheld. In general, media censorship has been considered to be weaker than in many Arab states (EIU). However, press censorship was re-implemented in 2008, sometimes resulting in censors cutting so much material out that the papers could not be published. In practice, the government controls radio and television, which are required to reflect government policies in their broadcasting. According to a 2009 article by Columbia Journalism Review, media freedom in Southern Sudan is controlled by the officials from the north. All outlets are registered with the National Press Council in Khartoum, which also holds a mandatory national exam for reporters. News and opinions supporting the International Criminal Court are quashed. Journalists that write about public sector and government corruption are often harassed and even jailed. The Arabic daily Alternative View was closed down in 2002 when it accused a government official of embezzling USD millions meant for providing services in Khartoum State. In 2003, the privately owned Arabic daily Nation was closed down and its editor detained when it reported on the corrupt practices surrounding Vice President Ali Osman Mohamed Taha. The editor of Southern Sudan's The Citizen was arrested in October 2008 for publishing an article critical of corruption in the semi-autonomous region, according to AFP news agency. Reporters Without Borders 2010 ranks Sudan 172nd out of 178 countries, while Freedom House 2010 ranks the country 165th out of 196 countries and describes its media environment as 'not free'.

• Civil Society: In Sudan civil society groups do not have much room to operate. The government is distrustful of civil society groups as it fears that they might give rise to a stronger opposition. Nevertheless, according to the Bertelsmann Foundation 2010, civil society groups have grown and enjoy a greater freedom of association. Since the signing of the Comprehensive Peace Agreement in 2005, the government has alleviated restrictions, and a number of new CSOs have emerged. The National Congress Party (NCP) tries to stop particular CSOs such as human rights groups from gaining influence, or from becoming potential threats to its dominance, while at the same time the NCP introduces Islamist associations in the attempt to create an Islamic civil society. According to Freedom House 2010, conditions for NGOs have deteriorated in 2009 due to government hostility towards groups that criticise its policies.

The websites listed below provide useful facts on Sudan as well as contacts and tools for companies operating in Sudan:

• International Finance Corporation: Global SME Toolkit
  Guide to sustainable business management practices for SMEs.
• Business Fighting Corruption
  An online resource centre for business on collective action to avoid corruption which contains a guide and resources for partnerships with companies and other stakeholders to fight against corruption.
• CIA World Factbook: Sudan Profile
• The World Bank: Sudan Data Profile

Sources for further reading:

• The Bertelsmann Foundation: Transformation Index - Sudan 2010.
• Freedom House: Freedom in the World - Sudan 2010.
• US Department of State: Human Rights Report - Sudan 2009.
• Global Witness: Fuelling Mistrust: The Need for Transparency in Sudan's Oil Industry 2009.

UNCAC Status: Signed 14 January 2005. Not Ratified.

Status on UNCAC Implementation
This field describes the country's status on the United Nations Convention against Corruption. Please note any declarations and reservations made upon ratification. The list of signatories can be found on the UNODC website. Read more about the UNCAC.

Other Relevant Conventions or Treaties:

• African Union Convention on Preventing and Combating Corruption: Signed 30 June 2008. Not Ratified.
  Read Transparency International's summary and assessment of the convention.
• United Nations Convention against Transnational Organized Crime: Signed 15 December 2000. Ratified 10 December 2004.
  Read Transparency International's summary and assessment of the convention.

Transparency CPI: 2011: 177/182 (Score: 1.6)

Transparency CPI
This field consists of the score for the country in question on the Corruption Perceptions Index from Transparency International as well as its ranking.

World Bank CORR Index (-2.5 - +2.5): 2010: -1.33

World Bank Corruption Index
This field consists of the score for the country in question on the 'Control of Corruption' indicator in the World Bank Governance Research Indicator Country Snapshot (GRICS): 1996-2010.

OECD Country Risk Classification (0-7): 2011: 7

Country Risk Classification
The classification of countries by risk category has the aim of providing OECD countries with a basis for calculating the premium interest rate to be charged to cover the risk of non-repayment of export credits. Countries are placed in risk categories 0 - 7, with 0 being the lowest risk category and thus the least expensive. Conversely, premium group 7 is the highest risk category. Each classification is comprised of 2 components: 1) an assessment of the country's economic/financial situation, and 2) its overall political stability. Access the complete list of OECD Country Risk Classification figures.

Data Verification:

Publication date: March 2011

Data verified by: Global Advice Network

General Information Sources

• The World Bank & IFC: Doing Business 2011.
• Sudan Tribune: 'SPLM: North-South border demarcation commences Sunday', 15 February 2011.
• Eurasia Review: 'South Sudan – a new country, new beginning in Africa', 15 February 2011.
• Reuters: 'South Sudan's Kiir says no to corruption in new state', 8 February 2011.
• BBC News: 'South Sudan backs independence - results', 7 February 2011.
• PBS: 'After Jubilation of Vote, South Sudan Faces Reality of Country Formation ', 2 February 2011.
• Freedom House: Freedom in the World - Sudan 2010.
• The Fund for Peace: Failed States Index 2010.
• African Economic Outlook: Sudan Country Profile 2010.
• The Bertelsmann Foundation: Transformation Index - Sudan 2010.
• eStandards Forum: Country Brief - Sudan 2010.
• BBC News: 'President Omar al-Bashir declared winner of Sudan poll', 26 April 2010.
• BBC News: 'Sudan Signs Ceasefire Deal with Darfur Rebel Group', 23 February 2010.
• US Department of State: Human Rights Report - Sudan 2009.
• Global Witness: Fuelling Mistrust: The Need for Transparency in Sudan's Oil Industry 2009.
• Freedom House: Worst of the Worst 2009.
• Freedom House: Freedom in the World - Sudan 2009.
• Reuters: 'South Sudan rejigs cabinet after corruption grumbles', 1 June 2009.
• BBC News: 'Sudan beckons for new investors', 28 January 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• Sudan Tribune: 'National and International Indices on Sudan Government Corruption', 13 November 2008.
• Sudan Tribune: 'South Sudan Governors' Forum Concludes With urge to Decentralise', 3 October 2008.
• Sudan Tribune: 'Corrupt practices are rampant in South Sudan - official', 1 October 2007.
• Sudan Tribune: 'In South Sudan, "Anything goes", as Per the rules of Corruption', 15 April 2007.
• Global Integrity: Sudan Country Report 2006.
• Sudan Tribune: 'Corruption, insecurity threaten Sudan's CPA', 13 November 2006.
• Heritage Foundation: Barriers to Energy Investment in Africa and Challenges for the Oil and Gas industry.

Corruption Levels Sources

Judicial System

• The World Bank & IFC: Doing Business 2011.
• The Heritage Foundation: Index of Economic Freedom - Sudan 2011.
• Freedom House: Freedom in the World - Sudan 2010.
• The Bertelsmann Foundation: Transformation Index - Sudan 2010.
• eStandards Forum: Country Brief - Sudan 2010.
• US Department of State: Human Rights Report - Sudan 2009.
• Freedom House: Worst of the Worst 2009.
• Freedom House: Freedom in the World - Sudan 2009.

Police

• The Heritage Foundation: Index of Economic Freedom - Sudan 2011.
• US Department of State: Human Rights Report - Sudan 2009.
• Freedom House: Freedom in the World - Sudan 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• Global Integrity: Sudan Country Report 2006.

Licences, Infrastructure and Public Utilities

• The World Bank & IFC: Doing Business 2011.
• Sudan Tribune: 'South Sudan anti-corruption body says it has information about suspected officials', 27 January 2011.
• Sudan Tribune: 'Report: Investigation ordered into corruption at Sudan humanitarian affairs ministry', 17 March 2010.
• US Department of State: Human Rights Report - Sudan 2009.
• Freedom House: Freedom in the World - Sudan 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• Sudan Tribune: 'In South Sudan, "Anything Goes", as Per the Rule of Corruption', 15 April 2007.
• Global Integrity: Sudan Country Report 2006.

Land Administration

• The World Bank & IFC: Doing Business 2011.
• The Bertelsmann Foundation: Transformation Index - Sudan 2010.
• eStandards Forum: Country Brief - Sudan 2010.
• Freedom House: Freedom in the World - Sudan 2009.
• Reuters Africa: 'South Sudan Looking into US Land Deal', 27 January 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• Sudan Tribune: 'Land disputes fuel tensions in war-torn south Sudan', 19 August 2007.
• Sudan Today: 'There will be no Self-determination in 2011 in South Sudan', 19 July 2006.

Tax Administration

• The World Bank & IFC: Doing Business 2011.
• eStandards Forum: Country Brief - Sudan 2010.
• Freedom House: Freedom in the World - Sudan 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• Global Integrity: Sudan Country Report 2006.

Customs Administration

• The World Bank & IFC: Doing Business 2011.
• eStandards Forum: Country Brief - Sudan 2010.
• Sudan Tribune: 'South Sudan immigration officials in travel permit scam ', 24 August 2010.
• Freedom House: Freedom in the World - Sudan 2009.
• Sudan Tribune: 'Juba Airport officers accused of harassing Indian Ambassador', 19 January 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• Global Integrity: Sudan Country Report 2006.

Public Procurement and Contracting

• eStandards Forum: Country Brief - Sudan 2010.
• The Guardian: 'Publisher Macmillan under investigation over Sudan bribery claim', 6 May 2010.
• Freedom House: Freedom in the World - Sudan 2009.
• BBC News: 'Sudan beckons for new investors', 28 January 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• Sudan Tribune: 'In South Sudan, "Anything Goes", as Per the Rule of Corruption', 15 April 2007.
• Global Integrity: Sudan Country Report 2006.

Environment, Natural Resources and Extractive Industry

• CNN: 'Report urges transparency over Sudan oil revenues', 6 January 2011.
• eStandards Forum: Country Brief - Sudan 2010.
• Global Witness: 'New evidence confirms oil revenue transparency still eludes Sudan', 17 March 2010.
• Global Witness: Fuelling Mistrust: The Need for Transparency in Sudan's Oil Industry 2009.
• National Democratic Institute for International Affairs: Losing Hope: Citizen Perceptions of Peace and Reconciliation in Three Areas, 2009.
• African Economic Outlook: Sudan Country Profile 2009.
• Reuters: 'Sudan could owe south millions in oil revenue: report', 6 September 2009.
• Sudan Tribune: 'Unity State Citizens Petitions for Governor's Removal', 27 January 2008.
• Sudan Tribune: 'In south Sudan, "Anything goes", as Per the rules of Corruption', 15 April 2007.
• Transparency International: Corruption & the Environment 2006.
• Global Integrity: Sudan Country Report 2006.
• Sudan Tribune: 'Corruption, insecurity threaten Sudan's CPA', 13 November 2006.
• The Heritage Foundation: Barriers to Energy Investment in Africa and Challenges for the Oil and Gas industry.

Public Anti-Corruption Initiatives Sources

• The Heritage Foundation: Index of Economic Freedom - Sudan 2011.
• Sudan Tribune: 'South Sudan anti-corruption body says it has information about suspected officials', 26 January 2011.
• Afrik.com: 'Southern Sudan Fights Corrupt Officials', 20 February 2010.
• The New Sudan Vision: 'Government officials asked to declare income and assets by month's end', 19 February 2010.
• Miraya FM: 'Southern Sudan's Anti-Corruption Commission: Income Transparency for Officials and Civil Servants', 19 February 2010.
• Sudan Radio Service: 'SSAC Launches Anti-Corruption Campaign in South', 10 February 2010.
• UNDP Sudan: 'Southern Sudan Anti-Corruption Commission Launches New Strategy', 26 January 2010.
• Miraya FM: 'General Auditor: Less money lost in corruption this year in comparison to last year', 31 December 2009.
• Defence Web: 'Southern Sudan Launches Anti-Corruption Strategy', 10 December 2009.
• US Department of State: Human Rights Report - Sudan 2009.
• Freedom House: Freedom in the World - Sudan 2009.
• UNDP: Southern Sudan Update, Volume 1, Issue 5, October 2009.
• Sudan Tribune: 'South Sudan upgrades Anti-Corruption Commission, dismisses deputy chairperson', 23 August 2009.
• Miraya FM: 'Anti-Corruption Commission urges the public to cooperate in fighting corruption', 5 July 2009.
• Reuters: 'Oil-rich South Sudan passes anti-graft law', 25 March 2009.
• The New Sudan Vision: 'South Sudan passes anti-corruption bill', 23 March 2009.
• Sudan Tribune: 'Human Rights Bill Passes in South Sudan Legislature', 14 January 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• Miraya FM: 'The Anti-Corruption Commission in South Sudan', 2 September 2008.
• Sudan Tribune: 'Corrupt Practices Are Rampant in South Sudan - Official', 1 October 2007.
• Global Integrity: Sudan Country Report 2006.

Private Anti-Corruption Initiatives Sources

• The Bertelsmann Foundation: Transformation Index - Sudan 2010.
• Reporters Without Borders: Sudan Country Report 2010.
• Reporters Without Borders: Worldwide Press Freedom Index 2010.
• Freedom House: Freedom of the Press Index - Sudan 2010.
• Freedom House: Freedom in the World - Sudan 2010.
• eStandards Forum: Country Brief - Sudan 2010.
• US Department of State: Human Rights Report - Sudan 2009.
• Freedom House: Freedom of the Press - Sudan 2009.
• Columbia Journalism Review: 'Southern Exposure - A South Sudan biweekly seeks the light', 4 May 2009.
• Freedom House: Freedom in the World - Sudan 2008.
• The Bertelsmann Foundation: Transformation Index - Sudan 2008.
• AFP: 'Editor arrested in south Sudan over corruption exposé', 11 October 2008.
• Global Integrity: Sudan Country Report 2006.