Large evaporation occurs over the Sudd wetland, a huge swamp located on the upper Nile. Historically, water resources planners have had the intention to reduce the Sudd evaporation by shortcut channels (e.g., Jonglei canal). The question is: What is the effect of draining the Sudd wetland on the regional water cycle and on the Nile water flow? A regional climate model has been applied to the Nile Basin, with a special modification to include routing of the Nile flood over the Sudd. The impact of the wetland on the Nile hydroclimatology has been studied by comparing two model scenarios: the present climatology and a drained Sudd scenario. The results indicate that draining the entire Sudd has negligible impact on the regional water cycle owing to the relatively small area covered by the wetland. The runoff gain would then be up to ~36 Gm3 yr-1. However, the impact on the microclimate is large. The relative humidity will drop by 30--40% during the dry season, and temperature will rise by 4¿--6¿C. The impact during the wet season is small.