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Afghanistan’s central bank chief upbeat over stable AFN
The monthly average exchange rate between AFN and US dollar was recorded at AFN 72.0 per 1 USD.
The acting head of Da Afghanistan Bank (DAB) says that the value of the afghani (AFN) against the US dollar has remained stable compared to that of other currencies in the region.
Hadayatullah Badri said in a Supreme Council of Da Afghanistan Bank meeting this week that the liquidity situation in banks has improved because “people’s deposits in the Islamic banking sector have increased by 4 percent compared to the previous quarter.”
Issues that were also discussed at the meeting included the effective implementation of monetary policies, the state of the banking sector, efforts to develop Islamic banking, the mechanization of exchange activities and people’s access to financial services.
Last month, the UN’s World Food Program (WFP) reported that following political changes in August 2021, inflation surged in Afghanistan, peaking at 18.3 percent in July 2022.
However, it subsequently plummeted into deflation, reaching -9.0 percent in March 2024.
Similarly, food inflation decreased from +26 percent in June 2022 to -13.8 percent in March 2024.
The persistent deflation is reflecting a fall in food prices and weak consumer demand.
However, WFP stated: “While deflation supports low food prices, limited number of job opportunities and low wages will continue to weaken household purchasing power.”
Exchange Rate:
The monthly average exchange rate between AFN and US dollar was recorded at AFN 72.0 per 1 USD.
After its surge in January 2022, the value of AFN started to consistently appreciate against the US dollar during the year 2023 and remains relatively stable, hovering around AFN 70-74 per USD since November 2023.
Factors such as US dollar auctions by the Da Afghanistan Bank, ban on foreign currencies for domestic transactions, increased remittances, and UN dollar shipments significantly contribute to the stability of AFN, WFP reported.
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A 6.1-magnitude earthquake struck Afghanistan on Saturday afternoon, according to the United States Geological Survey (USGS).
The quake’s epicenter was reported in Jurm district of Badakhshan province, with a depth of 208.3 kilometers.
So far, there have been no immediate reports of casualties or damage following the tremor.
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Delawar says Afghanistan has achieved security and unity after 47 years
Shahabuddin Delawar, Head of the Commission for Contact with Afghan Personalities, says Afghanistan has achieved security, unified governance, brotherhood, and progress for the first time in 47 years under the administration of the Islamic Emirate of Afghanistan (IEA).
Speaking at a meeting in Kabul on Saturday, Delawar said Afghanistan had lacked a unified system over the past four decades, but added that with the return of the Islamic Emirate, the issue has now been resolved.
Referring to Ashura commemorations held on Friday, he said the occasion was observed peacefully across the country under full security.
Delawar also urged exiled Afghan politicians to return, saying the commission was established to serve Afghans and address the concerns of returning figures. He added that any legal disputes involving returnees would be handled exclusively through the commission.
He further said the Islamic Emirate has expanded treatment centers and intensified anti-narcotics efforts since regaining power, claiming this has led to a significant decline in drug addiction.
Addressing the issue of international legitimacy, Delawar said he understood why the United States has not recognized the Islamic Emirate, arguing that Washington suffered a defeat in Afghanistan that it cannot easily overlook.
“They have suffered a major defeat that they cannot forget; if they recognize us, they will face questions from their own people,” Delawar said.
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Speaking to Ariana News, EU Chargé d’Affaires in Kabul, Veronika Boskovic Pohar, said the programs are aimed at creating jobs for skilled workers, women, youth, and returnees, while also strengthening the private sector. She added that alongside international support, Afghan authorities also have a role in facilitating economic growth.
According to Pohar, the EU is currently implementing projects worth €156 million focused on livelihoods, durable solutions, job creation, and women’s economic empowerment. She said an additional €40 million program specifically designed to support returnees will be launched in the near future.
She noted that the EU is gradually shifting its focus from emergency humanitarian aid toward long-term sustainable solutions, particularly for internally displaced people and returnees in Afghanistan.
Meanwhile, the United Nations, marking World Day of Small and Medium Enterprises, said SMEs account for more than 90 percent of businesses worldwide and play a critical role in employment and economic growth.
UN spokesperson Stéphane Dujarric stressed that stronger investment, innovation, and sustainable industrial development are essential to help businesses withstand economic challenges and build resilient economies.
Afghan private sector representatives and economic analysts say greater support for SMEs could help the country address economic challenges faster, increase employment, and promote sustainable long-term development.
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