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Afghanistan central bank raises limit on bank withdrawals to $400 a week

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Afghanistan’s central bank has eased restrictions on bank withdrawals, lifting the maximum to $400 from dollar-denominated accounts or 30,000 Afghanis a week from the previous limit of $200 or 20,000 Afghanis, the central bank said on Wednesday.

The change, which sets a monthly limit on withdrawals of $1,200 or 100,000 Afghani, came amid growing economic hardship that has left millions in Afghanistan without work and facing hunger.

Even those with savings have struggled to pay for food and household necessities because of the strict limits on withdrawals that were brought in to prevent a run on banks.

Afghanistan’s foreign exchange reserves have been restricted following the Islamic Emirate of Afghanistan (IEA) take over in August, severely limiting the new administration’s room for financial manoeuvre.

Some $9.5 billion in central bank reserves remain blocked outside the country and international support given to the previous government has dried up.

This week, the IEA banned the use of foreign currencies for transactions like buying a car or a house, saying all contracts must be denominated in the Afghani currency.

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Afghan and Iranian officials discuss expanding economic cooperation

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Ahmad Jan Bilal, General Director of State-Owned Corporations, met on Tuesday with Iran’s Ambassador to Kabul, Ali Reza Bikdeli, to discuss expanding bilateral economic cooperation and following up on issues raised during his recent visit to Iran.

According to a statement from the General Directorate of State-Owned Companies, the meeting focused on reviewing ways to implement discussions held with Iranian officials during Bilal’s visit.

Bikdeli described the visit as positive and productive, stressing the importance of following up on the issues discussed and taking practical steps to advance bilateral cooperation.

He said Iran is ready to cooperate with Afghanistan in oil and gas exploration, extraction and exports, refinery construction, agriculture, water and electricity.

Bilal, for his part, said the Islamic Emirate is interested in expanding joint cooperation with Iran in energy, agriculture, industrial development and other economic sectors. He added that his office would work with the Iranian side to turn the proposed areas of cooperation into practical initiatives.

Bilal also reaffirmed his office’s commitment to following up on the issues discussed during his recent visit to Iran and working towards their implementation in coordination with Iranian officials.

Bilal recently visited Iran at the head of a delegation, holding talks with several Iranian officials on expanding economic, trade and investment ties, particularly in the state-owned companies sector.

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Ariana Airlines reduces Kabul–Islamabad–Kabul airfares by $20

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Ariana Afghan Airlines announced on Tuesday a reduction in ticket prices for flights on the Kabul–Islamabad–Kabul route from $190 to $170.

According to the airline, passengers can now purchase tickets for this route at $20 less than the previous fare.

The airline has also set a special fare of $150 for students travelling on this route.

Ariana Afghan Airlines said the move aims to reduce travel costs and make air travel more affordable and accessible for passengers and students.

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Afghanistan and Russia discuss expanding economic ties and boosting bilateral trade

During the meeting, Muttaqi stressed that Afghanistan and Russia should expand economic cooperation based on shared interests and mutual benefits.

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Afghanistan’s Foreign Minister Amir Khan Muttaqi has met with Zamir Kabulov, Russian President’s Special Representative for Afghanistan, to discuss strengthening bilateral relations, expanding economic cooperation and increasing trade between the two countries.

During the meeting, Muttaqi stressed that Afghanistan and Russia should expand economic cooperation based on shared interests and mutual benefits.

Kabulov, meanwhile, praised the Islamic Emirate’s efforts to combat drug trafficking and cultivation, saying reports by some international organisations on the issue do not reflect the realities on the ground.

Muttaqi reiterated that the Islamic Emirate remains committed to combating drug cultivation, production and trafficking, describing these efforts as important for the security and stability of both Afghanistan and the wider region.

The meeting comes amid continued efforts by Kabul and Moscow to strengthen diplomatic and economic engagement and explore opportunities for broader bilateral cooperation.

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