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Audit fails to win U.S. backing for release of Afghan central-bank funds

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A U.S. funded audit of Afghanistan’s Islamic Emirate-run central bank has failed to win Washington’s backing for a return of bank assets from a $3.5 billion Swiss-based trust fund, said two U.S. officials and a former U.S. official, a move that would help ease the country’s financial crisis, Reuters reported.

The audit has not changed the U.S. Treasury’s view that the bank must make reforms before the department will support disbursements from the Afghan Fund to Da Afghanistan Bank (DAB), said a U.S. Treasury official on condition of anonymity.

The Swiss-based Afghan Fund was set up last year with half of about $7 billion in central bank funds that were frozen in the Federal Reserve Bank of New York in August 2021 after IEA took control of the country as the last foreign forces withdrew following two decades of war.

DAB must show that it is free “from political influence and interference,” said the Treasury official, referring to the need for professional bankers to replace the three IEA officials who oversee the bank and are under U.S. and U.N. sanctions.

It also must prove that it has “adequate” controls against money-laundering and terrorism financing and install a “reputable” independent monitor, said the Treasury official.

“Our assessment of DAB remains unchanged,” said one of the U.S. officials. Reuters quoted the two officials and the former U.S. official, who has knowledge of the U.S. position, spoke on condition of anonymity because of the confidentiality of the matter.

The IEA administration spokesman and a spokesperson for the Afghan central bank did not respond to request for comment.

Concerns in Washington and other capitals about the bank’s leadership and anti-money laundering safeguards are at the heart of a standoff over the IEA’s demand for the return of DAB cash frozen in the United States and other countries after the Islamic Emirate return.

Because the four-member board that oversees the trust fund must approve disbursements unanimously, the support of its U.S. government representative is essential.

Afghanistan remains mired in grave humanitarian and economic crises that some experts say has been worsened by U.S. restrictions hampering DAB’s ability to perform key central bank functions, such as ensuring stable exchange rates and prices, read the report.

The audit, funded by the U.S. Agency for International Development (USAID) and conducted by an outside contractor, examined DAB’s controls against money laundering and terrorism financing, and its banking oversight and payments departments, according to an April report by the U.S. Special Inspector General for Afghanistan Reconstruction (SIGAR).

The findings have not been made public, Reuters reported.

Calling the audit, a “preliminary assessment,” the Treasury official said its “limitations” suggested that “more comprehensive third-party assessment efforts may be needed.”

Shah Mehrabi, an Afghan-American economics professor who is on DAB’s governing board and co-chairs the Afghan Fund board, said the audit – which he has not seen – was completed in March and currently is with the State Department.

The State Department declined to comment.

Mehrabi and his co-chair, Anwar ul-Haq Ahady, a former DAB governor and former finance minister, told Reuters that they would consider the findings once they are available.

Mehrabi said use of the Afghan Fund’s assets should focus on stabilizing prices and ensuring banks had enough liquidity, as the entire financial system was at risk from declining foreign donor funds to Afghanistan.

The other $3.5 billion in DAB assets frozen in US is being sought in lawsuits against the IEA brought by families of victims of the Sept. 11, 2001, attacks on the United States. A U.S. judge in February ruled against the plaintiffs who are appealing.

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Afghanistan, Kyrgyzstan discuss expanding trade and economic cooperation

Azizi welcomed the Kyrgyz delegation and thanked them for visiting Kabul, underscoring the importance of closer economic engagement between the two countries.

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Afghanistan and Kyrgyzstan held high-level talks in Kabul aimed at strengthening bilateral economic and trade relations, officials said.

The meeting brought together Nooruddin Azizi, Minister of Industry and Commerce of the Islamic Emirate of Afghanistan, and Bakyt Sadykov, Minister of Economy and Trade of the Kyrgyz Republic, who is leading a visiting delegation to the Afghan capital.

Azizi welcomed the Kyrgyz delegation and thanked them for visiting Kabul, underscoring the importance of closer economic engagement between the two countries.

During the talks, both sides discussed ways to boost bilateral trade by making better use of existing capacities and identifying priority export commodities.

The discussions also focused on developing transit routes, signing transit agreements, attracting joint domestic and foreign investment, and expanding cooperation through trade exhibitions, business conferences and regular meetings.

The two ministers stressed the need to implement earlier agreements, particularly the economic and trade cooperation roadmap signed during a previous visit by an Afghan delegation to Kyrgyzstan.

They said effective follow-up on these commitments would be key to translating discussions into tangible results.

Officials from both countries said the meeting was intended to deepen economic, trade and investment ties, while opening new avenues for partnership between Afghanistan and Kyrgyzstan in the coming period.

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Rights group calls for halt to forced returns of refugees to Afghanistan

The Islamic Emirate has repeatedly rejected such allegations, stating that the rights of citizens are protected within the framework of Sharia law.

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Amnesty International on Tuesday called on world leaders to immediately stop the forced return of refugees and asylum seekers to Afghanistan, citing serious human rights concerns and warning that such actions violate international law.

In a statement, the rights group said millions of Afghan refugees were unlawfully deported in 2025 from countries including Pakistan, Iran, Turkey and Germany, despite the human rights situation inside Afghanistan. Amnesty said the returns have taken place amid intensified restrictions on fundamental freedoms, particularly affecting women and girls.

According to the organization, ongoing violations include limits on freedom of movement, bans on women working with the United Nations and non-governmental organizations, and the continued exclusion of girls above the age of 12 from education.

Amnesty International’s Regional Director for South Asia, Smriti Singh, said the forced deportations ignore the reasons Afghans fled their country in the first place. “This rush to forcibly return people to Afghanistan disregards the serious dangers they face if sent back,” she said, adding that such actions violate the binding international principle of non-refoulement.

Rights groups claim the human rights situation in Afghanistan has significantly deteriorated since the Islamic Emirate regained power in 2021, with restrictions on media freedom and women’s rights drawing widespread international concern. In October, the United Nations established an independent investigative mechanism to examine alleged international crimes and violations of international law in the country.

The Islamic Emirate has repeatedly rejected such allegations, stating that the rights of citizens are protected within the framework of Sharia law.

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UN warns restrictions on Afghan women are hindering aid delivery

The UN stressed that systematic discrimination against women and girls is not in Afghanistan’s interest and must end without delay.

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The United Nations has warned that ongoing restrictions on Afghan women working with the UN continue to undermine the delivery of life-saving humanitarian assistance across the country.

The UN Office of the High Commissioner for Human Rights (OHCHR) said that 100 days after Afghan women staff were barred from accessing UN premises, the measures remain in place and are significantly obstructing aid operations.

In a statement, the office called on the authorities to immediately lift all such restrictions.

“Marking 100 days since Afghan women colleagues were prohibited from accessing UN premises, we call on the de facto authorities to lift all such restrictions so that critical support can reach everyone in need,” the statement said.

The UN stressed that systematic discrimination against women and girls is not in Afghanistan’s interest and must end without delay.

It warned that excluding women from humanitarian work has weakened the reach and effectiveness of aid delivery, particularly in communities where female staff are essential to accessing women, children and other vulnerable groups.

According to the UN, the absence of women humanitarian workers has reduced the ability of aid agencies to assess needs, deliver assistance and monitor programs effectively, at a time when millions of Afghans depend on humanitarian support.

Reiterating its position, the United Nations emphasized that the full participation of women in humanitarian activities is critical to addressing the country’s urgent needs and ensuring aid reaches all segments of the population.

The UN has repeatedly urged Afghan authorities to reverse policies restricting women’s participation in public life, warning that continued limitations risk deepening the humanitarian crisis and isolating Afghanistan further from the international community.

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