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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.

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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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Russian firm eyes investment in Afghanistan’s power plants

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Russia’s Power Machines Company is interested in investing in the rehabilitation and modernization of Afghanistan’s power plants, Da Afghanistan Breshna Sherkat (DABS) said on Tuesday.

DABS Chief Executive Officer Abdul Haq Hamkar discussed the potential investment with technical officials from Power Machines, with talks focusing on rehabilitating existing power plants, modernizing equipment and expanding power-generation capacity.

According to DABS, Hamkar said the company would cooperate in facilitating preliminary technical assessments of Afghanistan’s power plants and in exploring investment opportunities in the sector.

Denis Rudakov, head of Power Machines’ commercial department, said the Russian company plans to conduct preliminary technical assessments of existing power plants in Afghanistan.

Based on the findings, Power Machines will prepare proposals for rehabilitating facilities, modernizing equipment and increasing electricity-generation capacity, DABS said.

Afghanistan currently has several operational power plants, while efforts are underway to increase their generation capacity and upgrade their equipment, according to DABS.

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IEA denies it is holding Afghan-American Mahmood Shah Habibi

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Zabihullah Mujahid, spokesman for the Islamic Emirate of Afghanistan (IEA), on Tuesday denied that IEA authorities detained Mahmood Shah Habibi, an Afghan-American businessman the US claims disappeared in Kabul four years ago.

“We have no information about Mahmood Shah Habibi. He is not with the Islamic Emirate of Afghanistan. If he were, this issue would have been resolved long ago,” Mujahid said.

His remarks came a day after the FBI marked the fourth anniversary of Habibi’s disappearance and renewed its appeal for information about his whereabouts.

According to the FBI, Habibi disappeared near his home in Kabul on August 10, 2022. At the time, he was working as a consultant for Asia Consultancy Group, a Kabul-based telecommunications company. He had previously served as Afghanistan’s director of civil aviation.

The FBI has alleged that Habibi was detained by the IEA’s General Directorate of Intelligence.

The FBI has continued its investigation and in 2025 released a missing-persons poster for Habibi. The U.S. State Department has also offered a reward of up to $5 million for information leading to his location, recovery and return.

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Justice minister rejects claims of ethnic, religious bias in land reclamation

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Afghanistan’s Justice Minister Abdul Hakim Sharei says the reclamation of state-owned land seized by land grabbers is a legal matter and should not be linked to ethnicity, religion or language.

Sharei, who also heads the Commission for the Prevention of Land Grabbing, made the remarks at a meeting with officials and representatives of charitable organizations in Kabul.

He said the commission is legally and religiously obligated to enforce rulings issued by the special court handling cases involving seized state land. Once the court determines that a disputed plot belongs to the state, the commission must enforce the decision, he said.

Sharei said the special court bases its rulings on documents, evidence and the law, adding that legal principles must be applied equally to all parties.

The justice minister also called on charitable organizations to work toward establishing a nationwide union and to expand their activities into fundamental and infrastructure projects.

He urged charities to avoid photographing or filming people while distributing aid, saying such practices could undermine the dignity of those receiving assistance.

Representatives of charitable organizations raised concerns over taxes, customs procedures and lengthy administrative processes. The Ministry of Justice said it would work to address the issues following the establishment of a nationwide union.

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