Taliban bar Afghans from using foreign currency as economy spirals

 Erin Cunningham 4 hrs ago‘House of Gucci’ role gave Gaga ‘psychological difficulty’Cristiano Ronaldo saves Manchester United from dismal defeat at Atalanta

The Taliban in Afghanistan declared a total ban on the use of foreign currency Tuesday, a shock move that threatened to rattle an economy already cash-starved and nearing collapse.

The group said in a statement that it was requiring Afghans to use the local currency, or afghani, in all transactions and that any violators would be prosecuted.

Taliban soldiers are seen reflected in the glass wall of a currency exchange stall in the Afghan capital, Kabul, on Oct. 7.© Jorge Silva/Reuters Taliban soldiers are seen reflected in the glass wall of a currency exchange stall in the Afghan capital, Kabul, on Oct. 7.

U.S. dollars are widely used in Afghanistan for both formal and informal business. But the Taliban’s surprise takeover in August prompted a rush on banks and an abrupt end to foreign funding.

“The use of foreign currency has a negative impact on the country’s economy,” the Taliban said, adding that “all citizens, shopkeepers, traders, businessmen and the general public” should conduct business using the afghani.

The currency plunged to record lows as the Taliban seized power and international financial systems severed the group’s access to billions in reserves held by the central bank. Since then, trade has slowed, food prices have skyrocketed and salaries have gone unpaid.

A staggering 50 percent of Afghanistan’s 40 million people now face acute hunger, the World Food Program said last week, and aid agencies are warning of a spiraling humanitarian crisis as winter approaches.

The White House announced last week that it would provide nearly $144 million in new aid to those affected by the crisis in Afghanistan. AdChoices

YOU MAY LIKE

AdMicrosoft

MORE FOR YOU

Publicējis intinja

Esmu 60 gadus veca Dzivoju Rezeknes novada

Atbildēt

Fill in your details below or click an icon to log in:

WordPress.com logotips

You are commenting using your WordPress.com account. Log Out /  Mainīt )

Google photo

You are commenting using your Google account. Log Out /  Mainīt )

Twitter picture

You are commenting using your Twitter account. Log Out /  Mainīt )

Facebook photo

You are commenting using your Facebook account. Log Out /  Mainīt )

Connecting to %s

%d bloggers like this: