Business
Afghanistan’s central bank gets shipment of new banknotes

A Polish firm delivered Afghani banknotes to Kabul this week after the United States paved the way for the Da Afghanistan Bank to make a payment via international banking systems, a member of the bank’s supreme council told Reuters on Wednesday.
The payment represents a shift for Afghanistan’s central bank, which has been largely cut off from the international financial system since the Islamic Emirate of Afghanistan (IEA) came into power last year.
State news outlet Bakhtar also reported that the shipment arrived on Wednesday.
The Afghan central bank held a contract with a Polish company for the printing of its banknotes but had been unable until early July to begin payment, Reuters reported.
Without access to fresh banknotes for more than a year, Afghanistan’s cash has been deteriorating, with notes torn in shreds or held together with sellotape, exacerbating the country’s liquidity crisis.
“Afghanistan’s markets run primarily on cash, but existing banknotes are crumbling …The Central Bank will be able to replace old and damaged banknotes, and this will improve the Afghan people’s ability to purchase food and other necessary items,” a U.S. State Department spokesperson said.
Shah Mehrabi, a member of the Afghan central bank’s supreme council, said assurances to banks and companies by the U.S. Treasury that they would not be prosecuted for allowing a transaction by Afghanistan’s central bank had been instrumental.
“These transactions that were facilitated by the Treasury are welcomed by all Afghans,” Mehrabi said.
He said the banknotes began arriving on Tuesday. The contract was for notes valued at 10 billion Afghanis, mostly in small denominations. A second contract with a French company had been reached for a similar value.
A spokesperson for Afghanistan’s finance ministry told Reuters that new banknotes would be used solely by the central bank for replacing old notes, not to fund the budget.
Mehrabi said that the bank would release its financial statements to ensure the cash was accounted for.
He said the bank had agreed to be subject to third party monitoring and the U.S. Treasury had approved of an agency to carry out the monitoring.
Business
Members of private security meet with Kazakhstan counterparts

A bilateral meeting between members of the private sectors of Afghanistan and Kazakhstan was held in cooperation with the Ministry of Industry and Trade on Tuesday with the aim of attracting more investment in the country.
At the meeting, representatives of the private sector of the two countries discussed investments in various sectors including the non-alcoholic beverages sector, gemstones stones and minerals, chemical fertilizers, car batteries, clothing and textiles, petroleum products, flour and wheat, the ministry said.
They also discussed tourism, investment in restaurant businesses and food, the ministry added.
Furthermore, the businessmen and investors of Kazakhstan thanked the Afghans for their hospitality and described Afghanistan as a safe place and a suitable environment for business and investment.
Representatives of the private sector of Kazakhstan spoke about holding exhibitions in Kabul, Balkh and Kandahar provinces, adding that in the near future they plan to hold exhibitions of Afghan manufacturing industries in Kazakhstan and an exhibition of Kazakh products in Afghanistan.
Business
Female entrepreneurs at Kabul women’s market say businesses are doing well

A number of female entrepreneurs at the special women’s market in Kabul say their businesses are improving day-by-day and that they have also set up online shopping opportunities for women.
These women say they are happy to have their own market where they can sell their own goods.
“Our clothes are Afghani Gand (traditional dress). Our sellers and buyers are both women. We are happy that such a market has been established in Kabul,” said Ferozah Qasimi, a woman entrepreneur.
“The good thing about this market for women and girls is that they can easily and calmly use the green space here, relax their minds and buy the things they need from one place,” said another woman entrepreneur.
“My request to government and foreign institutions is to join hands with us, to cooperate with us so that we can make further progress in our work,” said another businesswoman.
Meanwhile, the Women’s Chamber of Commerce says there is no limit to women entrepreneurs.
“We are seeing very good developments in this chamber which is creating markets and creating expos,” said Salma Yousafzai, head of the Women’s Chamber of Commerce.
The Ministry of Industry and Commerce (MoIC) spokesperson Abdulsalam Jawad Akhundzada stated that the ministry supports businesswomen.
“The Ministry of Industry and Commerce has always supported women entrepreneurs and has always supported them in all aspects of trade and industry,” said Akhundzada.
“Thousands of women in 34 provinces of Afghanistan are actually working in various sectors of industry and investment,” he added.
Business
Foreign cash aid and tight restrictions on afghani helps ‘stabilize’ local currency

Billions of US dollars, flowing into Afghanistan, in the form of cash aid, is helping to stabilize the local currency so much that the AFN has been propelled to the top of the global rankings this quarter.
According to America’s Bloomberg news agency, the afghani (AFN) has maintained its value against foreign currencies, especially the US dollar, on the back of the cash aid and other factors.
Additional actions are also helping to stabilize the currency including the Islamic Emirate’s ban on the use of Pakistani rupees and US dollars on the local market, and an increase in cross border trade, Bloomberg reported.
Currently, the AFN is trading at just under 80 afghanis to the dollar.
The international community has shipped in on over $40 million dollars a week since the fall of the former government. This money is handled by the UN and used for aid in the country.
Bloomberg reported however that the cash aid and increased trade with Afghanistan’s neighbors has propelled Afghanistan’s currency to the top of global rankings this quarter — an unusual spot for a poverty-stricken country.
The IEA’s tight restrictions on taking dollars out of the country, banning online trading and imposing prison sentences on those who break the rules, have also contributed to this stability, Bloomberg reported.
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