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On Monday, United States (US) President Donald Trump announced on Twitter that the State Department would finally be removing Sudan from its state sponsors of terrorism (SST) list, under the condition that Khartoum pays $335 million to American citizens and their families who were victims of militant attacks. As a listed country alongside Iran, North Korea, and Syria on the SST roster, Sudan faced several sanctions including restrictions on US foreign aid assistance as well as a ban on defence sales.

The development is a key and significant move for the Sudanese administration, who can now attract foreign investments to boost the country’s economy. Following the ousting of the long-time President Omar al-Bashir by a military coup, the transitional government, which has been in power since August 2019, has considered the removal of Sudan from the US list as a top priority.

The North-East African country’s designation on the SST list was imposed in 1993 due to Bashir’s alleged support for militant extremist groups and harbouring of terrorists from al-Qaeda. In the time that has followed, Sudan’s transitional government—headed by a council of civilian and military representatives and led by former UN economist-turned-Prime Minister Abdalla Hamdok—has worked to swiftly dismantle the toxic legacy that Bashir left behind and move the country forward through sweeping social and legal reforms.

This has included the repealing of several laws used to regulate women’s behaviour in the country, criminalizing female genital mutilation (FGM), ending punishment by public flogging, and easing restrictions on the sale and consumption of alcohol. Most recently, the leadership also signed a peace deal with Sudan’s primary rebel union—the Sudan Revolutionary Front (SRF)—which reportedly covers important issues regarding land ownership, security, power-sharing, transitional justice, and the repatriation of those who fled their homes during the war. It also contains provisions to dismantle rebel fighters and integrate them into the national army.

Now, negotiations between Washington and Khartoum are focused on the funds that Sudan is expected to deposit as compensation for the victims of the attacks orchestrated by al-Qaeda at US embassies in Tanzania and Kenya in 1998, as well as the 2000 bombing of USS Cole in Yemen. Edith Bartley, a spokesperson for the Americans killed in Nairobi, said that the disbursal of funds would finally meet a commitment made by the past three presidents. However, analysts have also noted that the money will be kept in an escrow account until the US Congress grants Khartoum immunity for other attacks. 

Further, the congressional legislation needed to ensure the smooth flow of payments from Khartoum to the afflicted victims; however, this may not be possible immediately. Sources close to the matter told CNN that the Trump administration was yet to officially notify Congress of the delisting. The notification would trigger a 45-day voting period, during which Congress has the power to override the decision. Further, the final delisting will only take place once both the Senate and the House pass a veto-proof joint resolution for the same. 

The deal is also expected to lead to a US-brokered rapprochement between Sudan and Israel, although the details of how the diplomatic agreement will be carried out have not been disclosed yet. Normalizing relations between Tel Aviv and another Arab country, after the United Arab Emirates and Bahrain, would also add to Trump’s list of diplomatic achievements ahead of the Presidential election on November 3. However, in his meeting with Secretary of State Mike Pompeo in August, Hamdok stressed on the fact that the delisting of Sudan from the SST register should not be explicitly linked to diplomatic normalization with Israel since there is still uncertainty among Sudanese military and political leaders on how to go about warming ties with the Jewish state. Yet, leaders everywhere have welcomed the move as it now allows Sudan to get international aid as millions of its people face acute food shortages and soaring inflation.