Clinton says no decision to ease Sudan sanctions

WASHINGTON (Reuters) - U.S. Secretary of State Hillary Clinton said on Friday no decision had been taken to ease some sanctions against Sudan, one day after a senior U.S. official suggested this step might help the peace process.

General Scott Gration, the U.S. special envoy for Sudan, told lawmakers on Thursday he did not know of any intelligence to justify Sudan remaining on a list of "state sponsors of terrorism," a designation accompanied by sanctions and restrictions on aid.

Asked whether the administration was considering such as move, Clinton replied: "We have made no decision to lift the listing on the terrorist list of Sudan."

She referred to an "intensive" review being done by the Obama administration on its policy towards Sudan. "But no decisions have been made," she stressed in a joint news conference with Saudi Arabia's foreign minister.

Gration, in his testimony to lawmakers, said U.S. sanctions against Sudan were counterproductive to efforts to bring peace to the country, recommending that Washington eventually "unwind" some sanctions against Khartoum.

The retired Air Force general's mandate is to try to sustain a 2005 peace accord that ended a two-decade civil war between Sudan's north and south and to help restore stability to the western Darfur region after years of fighting between government and rebel forces.

Asked about Gration's comments, State Department spokesman P.J. Crowley said Sudan -- placed on the terrorism list in 1993 -- had in recent years improved its counter-terrorism cooperation with the United States.

He said this and other issues were part of the policy review of Sudan, which officials say is likely to be completed in a few weeks.

There is much debate across the Obama administration about how to deal with Sudan's government and about what is happening in the western region of Darfur, which the Bush White House had labeled as genocide.